Small to medium-sized enterprises (SMEs) have an £175bn revenue opportunity between now and 2030 based on the government’s climate ambitions for the end of the decade.
That's the conclusion of a new report by NatWest Group PLC (LSE:NWG).
It states that 40,000 new SMEs will have to be set up to capture the opportunity and for the UK to meet its 35% emission decrease target by 2030, with these businesses potentially contributing up to 50% towards the UK’s total emissions reduction process.
From insulation needing fitting to over 30mln homes, to the ever-increasing demand of electric vehicle chargers, NatWest found SMEs can benefit from the UK’s transition to net zero in many different areas, whilst also creating up to 260,000 new jobs.
Alison Rose, NatWest CEO said: “Against this volatile (economic) backdrop, we find that SMEs in the UK are still well placed, and indeed, pivotal, to drive the next decade of decarbonisation in the UK.
“The £175 billion revenue opportunity has the potential to create substantial regional growth benefits, with an expected 40,000 new SMEs focusing on specific sectors in different regions to spur green growth.”