Stakeholder engagement is key to our strategy
Our ESG strategy targets our five key stakeholder groups: Investors, Suppliers, Brands, Colleagues and Communities.
These stakeholder groups represent our value chain which is where we can most directly affect change and create positive impacts for our business and communities.
We work to ensure each of our ESG initiatives are relevant to at least one of these five stakeholder groups.
Investors
Our ESG strategy and performance is an important element of our corporate proposition to investors.
Awareness of the risks and opportunities that climate change presents to real estate continues to grow. With greater transparency being achieved through the TCFD framework and wider improvements in ESG disclosures, investor requirements increase as the sector develops. We undertake materiality assessments to ensure we understand our stakeholder needs and build them into our strategy.
Suppliers
We take a proactive approach to engaging with our suppliers on sustainability and other key issues. A range of policies and processes are in place to support and monitor key business partners such as our Supplier Sustainability Survey for Tier 1 and key operational suppliers, where we expect scores of over 70%. Achieving our Net Positive targets requires working closely with our suppliers to realise specialist opportunities, especially around innovative materials, reuse and design solutions. This is particularly significant for design teams and we have had strong engagement and positive results in this area in 2020.
Brands
2020 has been a difficult year for our brands and customers. Our long-term investment in energy efficiency and technology alongside good management enabled us to reduce energy demand quickly during lockdowns, delivering significant service charge savings for our brands. We continue to work on specific projects including waste management, through our relationship with Too Good to Go for our food and leisure operators and on energy efficiency through our retail delivery team and Energy Efficiency Guide.
Colleagues
Our Net Positive targets require all colleagues to be engaged in delivering our sustainability programme. We know that colleagues are proud of our achievements and ambitions in this area, and again gave it a score of 90 in the Great Place to Work survey. The strength of our approach makes us attractive to the increasing number of people who want to work for a responsible, purpose driven business and helps us to attract talent.
Delivery of our Positive Places strategy requires specific objectives and outcomes to be delivered. Specific targets are therefore included in colleague objectives and would influence year-end financial incentives.
Communities
Engagement with our local communities has always been a critical element of our Positive Places strategy. The long-term sustainability of our business relies on thriving, successful local communities. You can find out more about this area of the business on our dedicated Community Engagement page.
Industry Engagement and Research
We engage extensively with industry organisations and our peers on sustainability and other key issues, including research and innovation in the sector.
Industry Leadership Roles
In 2021 we hold the following industry positions:
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Chairmanship of the Better Buildings Partnership
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Chairmanship of the EPRA Sustainability Committee
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Chairmanship of the BPF Sustainability Committee
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Membership of the Green Construction Board and GCB Steering Group
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Membership of the Investment Property Forum ESG Working Group
Through these positions we have contributed to the following during 2020:
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Development of the BBP Climate Commitment and Net Zero Carbon Pathway Framework
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Establishment of the Nabers UK Operational Performance Rating System
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BBP Real Estate Environment Benchmarks
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Ensuring widening industry access to the EPRA Sustainability Best Practice Reporting Standards Database
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Consultation responses on key sustainability policies including the EU Sustainable Finance Taxonomy and IFRS Consultation Paper on Sustainable Reporting and UK Government Streamlining.
Contributing Valuable Research
We continue to play a leading role in the sector through collaboration with our peers, industry organisations and by publicly sharing our experiences, work and data.