Over half (52 per cent) of UK consumers are likely to trust ESG (environmental, social, and governance) claims from supermarkets.
This is despite just 23 per cent of consumers taking environmental claims and initiatives from businesses at face value, according to a new study researchers Sensu Insight.
The 50 Shades of Greenwashing report has revealed that almost a third (30 per cent) of Brits expect environmental claims from companies to be slightly exaggerated, while 14 per cent said they don’t believe them at all.
This is largely due to the majority of people (71 per cent) assuming that claims are unlikely to be verified or checked by an independent expert or regulator, deeming them uncredible.
The survey of 1,682 UK adults also revealed some disparity between the sectors we’re most and least likely to believe when it comes to ESG claims. Those least likely to be trusted were airline operators, with over a third (35 per cent) saying they were unlikely or very unlikely to believe their claims. Respondents also appeared to be sceptical of claims made by fashion brands, with 29 per cent per cent saying they’d be unlikely or very unlikely to trust them.
Amongst the companies most likely to be trusted when it comes to ESG claims are supermarkets (52 per cent – likely or very likely to trust them) and food or drink brands (46 per cent).
Respondents were also asked whether they believe business motivations are genuine. Just one in 10 respondents (10 per cent) said they believe that businesses have the best interests of the planet at heart. Only 12 per cent of people said that they had more trust in businesses’ green claims than five years ago.
When asked who they deem is the most trusted source of environmental claims, commentators, such as The Energy Saving Trust (63 per cent likely to believe), pressure groups like Greenpeace (56 per cent), and international organisations like the UN (56 per cent) came out on top.
“The result of our survey reveals a society sceptical of the motivations of businesses," said Sensu Insight MD Steve Leigh. "We are increasingly living in a cynical age where accusations of ‘fake news’ make us more likely to question everything that we hear.
“When such suspicions are amplified through social media, it can feel like every ‘fact’ is being challenged and undermined. This makes genuine ESG initiatives and claims particularly hard to communicate effectively.
“We have tracked two years of news and conversation related to greenwashing and related themes, and several initiatives stand out as showing how hard it is for some companies, particularly within the ‘least trusted’ sectors.
“For airlines, the lawsuit filed against KLM was the highest profile example undermining trust in the sector, with environmental campaigners using legal action to challenge the brand’s ‘Fly Responsibly’ campaign.”
Leigh has the following advice for businesses seeking to convey their sincerity around ESG initiatives.
“If businesses are to convey authenticity and launch a new sustainability initiative effectively, they need to communicate with transparency and honesty. Ensuring that all messaging is consistent and backed by independent evidence is important. This is most likely to gain the trust of the public and other organisations.
“The most effective communications are also often reinforced by authoritative experts and reflected throughout all of the organisation’s operations.
“Finally, it is crucial to listen carefully to how stakeholders respond, taking on board and adapting to areas of improvement. Any ESG programme will involve some degree of compromise. It is important to acknowledge this and explain how it is part of an ongoing, evolving strategy.”
To find out more about Sensu Insight and its latest 50 Shades of Greenwashing report, visit, https://sensuinsight.com/
Methodology
Results of Sensu Insight’s global analysis of online content and conversation related to these key terms. Including 367,480 mentions from 136,170 unique authors from November 2020 to November 2022.
Nationally representative sample of 1,682 UK adults carried out by Sensu Insight in October 2022.
Independent research conducted by KAM on behalf of Philip Morris Limited (PML) has revealed the growing importance of offering a diverse range of smoke-free products, as retailers gear up for the Tobacco and Vape Bill and the impending ban on single-use vapes in 2025.
The findings highlight that a significant majority (76 per cent) of independent UK retailers feel well-informed and supported in preparation for the regulatory changes. 68 per cent agree that success will require a varied product portfolio – encompassing e-cigarettes and heat-not-burn products – rather than reliance on a single category.
Notably, the research emphasises the increasing prominence of nicotine pouches, with seven in ten retailers currently stocking or planning to introduce the oral nicotine alternative. Since their UK debut in 2019, nicotine pouches have seen extraordinary growth, with a 91 per cent rise in volume recorded in early 2024. This surge reflects the growing appeal of products such as ZYN – the world’s leading nicotine pouch brand – among adult nicotine users.
The study also found that over a third (36 per cent) of retailers have already observed disposable vape users transitioning to other smoke-free options since the announcement of the single-use vape ban. Despite this, concerns remain, with 39 per cent of retailers expressing apprehension about the forthcoming changes.
"In the face of a shifting regulatory landscape, it’s crucial that retailers take proactive steps to meet the evolving needs of adult nicotine users in 2025," said John Rennie, Commercial Director at PML. "With single-use vapes soon to disappear from shelves, adult nicotine users will increasingly turn to alternative smoke-free products that align with their preferences.
“Adopting a multi-category approach and offering a diverse range of smoke-free alternatives will not only help retailers prepare for 2025 but also play a vital role in ensuring that those who do not quit tobacco and nicotine completely do not revert to smoking cigarettes.”
The KAM research also revealed that more than half (51 per cent) of retailers are anticipating increased demand for smoke-free products, fuelled by New Year’s resolutions. Furthermore, just under half (48 per cent) are implementing strategies to help adult smokers move away from cigarettes in the coming year.
As Small Business Saturday approaches, HM Revenue and Customs (HMRC) has launched a new interactive online tool and clearer guidance for small businesses.
Aimed at supporting new and existing ‘sole traders’ to better understand their responsibilities, the new interactive tool explains the records they may need to keep, taxes that may apply to their business, and includes other useful information, for example how to pay a tax bill.
Whether preparing a first business plan, finding their feet as a fledgling firm, or already an established enterprise, small businesses across the UK can access the support and information easily and free of charge.
HMRC’s new Set up as a sole trader: step by step guide supports people working for themselves to understand when they may need to register as a sole trader and how to do so. This is presented in seven simple steps.
There are several HMRC interactive tools available, including one newly launched to help businesses estimate what VAT registration may mean for them. The VAT Registration Estimator was developed after feedback from small businesses suggested an online tool would be helpful to show when their turnover could require businesses to register for VAT and its effect on profits.
“At HMRC, we know small businesses are vital to our economy, and we want to help you get things right from the start,” Marc Gill, HMRC director of individuals and small business compliance, said.
“It can feel overwhelming when you’re a new business owner. That’s why we’ve created user-friendly, anonymised tools that give you the knowledge to make confident business decisions.
“We are committed to continue building trust with the small business community. Whether you’re just starting out or growing your business, we’re here with clear, reliable guidance to help your business succeed.”
The guidance and interactive tools are free to use and available directly from GOV.UK. They have been launched for information purposes only, users will not be registered for any taxes as a result of using them. HMRC will not collect or store any information about the user.
HMRC’s online services support businesses and individuals to interact with it securely at a time that suits them, and the free HMRC app helps businesses stay on top of their personal tax matters.
Vapers and retailers are being urged to "protect the future of harm reduction" by giving evidence to government as part of the Tobacco and Vapes Bill.
Campaign group We Vape wants vendors to answer a parliamentary call , explaining the importance of e-cigs and how the new bill might impact the numbers of people who choose to vape instead of smoke.
They have also encouraged businesses to 'spread the word' among consumers about how to respond to government's request for more data, as it advances the bill. The appeal follows a planned ban on advertising, which critics fear will prevent vital education of smokers that vapes are significantly safer than cigarettes.
Research shows half of all smokers (50 per cent) incorrectly believe vaping is more or equally as harmful as smoking - an increase of 10% on 2023. Only one third of smokers understand vaping is less harmful than smoking.
Further evidence suggest a potential ban on flavours could push 1.5million vapers back to smoking. One study - funded by the UK Health Security Agency - also raised fears many vapers will make their own flavoured e-liquid, 'which may expose them to toxicants or chemicals that have not been approved for use in vapes.'
We Vape Founder Mark Oates said, "This call to evidence is a rare opportunity for retailers and consumers on the ground to have their say on vaping. We know the potential restriction to flavours will drive many ex smokers back to the death sentence that is cigarettes, while the advertising ban means we cannot educate the staggering 50% of smokers who think vaping is more harmful than smoking.
"Both these elements of the bill already imply vaping is as bad for you as smoking, which is entirely wrong and contrary to the NHS policy of handing out starter packs to adults wanting to quit cigarettes.
"Vape retailers and vapers are best qualified to speak on the tastes and purchase options that draw smokers to vaping and can provide the expert evidence the government needs.
"It is vital its decisions protect the rights of vapers to choose the flavours that help stop them smoking, as well as allowing smokers to be educated about the health benefits of making the switch.
"While the government can adjust its decisions based on new evidence, a person diagnosed with terminal cancer after being forced back to smoking cannot.
"That's why we also encourage businesses to spread the word to their customers about contributing evidence, which will help protect the future of harm reduction.
"If you are a vaper or your business involves vaping, please answer the parliamentary call for evidence on the impact the Tobacco and Vapes Bill will have on you or the people you serve daily."
The government wants to hear from those with 'relevant expertise, experience or a special interest' in vaping, who can provide proof of its importance as the Tobacco and Vapes Bill enters the committee stage of approval.
Scottish Wholesale Association (SWA) acknowledged the Scottish Government’s efforts to deliver the 2024-25 Budget during a time of significant economic challenge.
While the commitments to stability and growth are positive steps, the wholesale and food and drink sectors require more targeted action to navigate ongoing pressures and invest in their future with confidence.
Commenting on the draft Scottish Budget, Colin Smith, chief executive of the Scottish Wholesale Association, said, “This Budget demonstrates an ambition to provide direction and stability, which is welcome, but for wholesalers, the reality on the ground remains tough.
"Rising costs linked to inflation, energy, and transportation – compounded by UK-wide changes to National Insurance contributions, the National Living Wage, and business property relief – continue to squeeze margins and challenge operations, particularly for family-run SMEs.
“We hope that measures within the Budget will help ease pressures on wholesale employees, who are the backbone of our sector. Ensuring our workforce feels supported is essential as businesses navigate these economic challenges.”
Smith acknowledged helpful measures, which will indirectly support wholesalers serving the hospitality industry, through the reinstatement of 40 per cent non-domestic rates relief for hospitality businesses, from 2025-26.
He said, “The hospitality and leisure sectors are critical to Scotland’s economy but who have struggled to fully recover after Covid, and which our members work tirelessly to sustain.
"Wholesalers are at the core of the food and drink supply chain, ensuring those businesses remain supplied. This much-needed support for hospitality was vital in trying to secure their long-term viability and investment within the Scottish economy.”
Confirmation from Scottish Government that they are not planning to proceed with the reintroduction of the Public Health Supplement for large retailers was also welcome
Smith also highlighted the importance of providing a stable environment for business planning.
“A sense of direction is encouraging, but businesses need certainty and tangible measures to invest confidently in the long term,” he said. “For wholesalers, and indeed many of our customers, this means targeted support that allows us to manage rising costs while contributing to Scotland’s economic recovery and sustainability targets. There was little sense of any optimism for business confidence from this budget.”
The SWA also stressed the importance of addressing the sector’s recruitment challenges, particularly in attracting young talent. “We welcome any Budget commitments to invest in education and skills development through colleges and training programmes,” Smith said.
“These measures could support the wholesale industry’s efforts to encourage more young people to consider careers in our diverse sector, ensuring a strong pipeline of talent for the future.”
The SWA, meanwhile, reiterated its commitment to working closely with the Scottish Government to ensure the wholesale sector’s critical role is fully recognised.
Smith emphasised: “We are eager to collaborate with the government to build a resilient, sustainable future for the wholesale sector and the communities it serves. We have consistently called for a Scottish Government Scottish wholesale strategy which we believe is essential to navigate the economic challenges ahead, and to give the confidence our members need.”
As the detailed implications of the Budget become clearer, the SWA will continue to advocate for policies that support the sector’s long-term sustainability and competitiveness. “The wholesale industry is integral to Scotland’s economy, and with the right support, it can thrive and contribute to Scotland’s prosperity,” Mr Smith concluded.
Scottish Wholesale Association (SWA) has this week joined other business and industry groups to give oral evidence to the Scottish Covid-19 Inquiry where it shared in detail the impacts of Covid on SWA members and wider wholesale channel.
Having provided substantive written evidence to the inquiry in August, SWA chief executive Colin Smith and Margaret Smith, the organisation’s former head of public affairs who retired at the end of last year.
They also told how, in their view at that time, the Scottish and UK governments did not fully understand or consider the vital role of wholesalers when making initial decisions on market closures, support mechanisms, or key worker status – all with little to no warning in allowing businesses to prepare.
Smith said, “We articulated to the inquiry how wholesale is not a homogenous sector and that every wholesaler is inextricably linked to the national food and drink infrastructure, food resilience, and food security.
“We wanted to show that regardless of size or markets supplied, every wholesaler suffered in some way. Through our evidence, we to tried to ensure that no wholesaler has to relive the same experiences, and that no-one is left behind in the future.”
He continued: “It was the first time, out with our conversations with the Scottish Government, that we were able to articulate the combined impacts faced by our sector, including the personal mental stress and trauma members, their employees, and their families faced. Yet despite this, wholesalers and their staff continued to serve their customers, and kept the nation fed.”
Smith gave first-hand evidence on what the Christmas restrictions on 19th December 2020 meant for wholesalers.
Recounting what he saw and heard, while sitting in a foodservice member’s boardroom listening live to the then-First Minister restrict Christmas parties and socialising, the inquiry heard about the phones immediately starting to ring from customers cancelling their orders, leaving the wholesaler with 700 turkeys and a warehouse full of stock valued at £1.7 million, 35 per cent of which had a short shelf life.
Through all the evidence, one of the key recommendations asked by SWA of the inquiry was to have the Scottish Government embed wholesale into all future pandemic and national emergency planning, through the development of a Scottish food and drink wholesale strategy, and for government to have regular ongoing engagement with SWA and the sector.
Smith, however, stressed that the SWA “fully appreciated” the £21 million wholesale specific support from the Scottish Government, of which many SWA members benefited.
All the same, he highlighted to the inquiry that while this fund saved businesses and prevented a catastrophic failure of Scotland’s food supply chain, the wholesale industry cannot wait nearly a year before support is forthcoming in the future.
According to the SWA, in future this needs to be implemented at the very beginning of market restrictions and closures, to prevent wholesalers burning through cash reserves or taking on loans that ultimately prevent the restocking, rebuilding, and reopening of markets.
Another key point highlighted by the SWA to the inquiry was the need to support and recognise the importance of the supply chain with wholesale employees classified as “key workers”. Wholesale drivers especially are skilled licensed individuals, integral to ensuring the wheels of Scotland’s food and drink supply chain keep moving.
Commenting after giving evidence this week, Smith said that since the pandemic the SWA had continued to forge stronger relations with the Scottish Government and had collaborated closely with ministers, officials, MSPs and other stakeholders to raise awareness of the importance of wholesale.
In September, a Members’ Debate in the Scottish Parliament, initiated by Gordon MacDonald, MSP for Edinburgh Pentlands, provided a platform for politicians from all parties to speak about the often overlooked yet vital role of wholesalers in the food and drink supply chain.
The debate also highlighted the SWA's collaborative initiatives, supported by direct Scottish Government investment, aimed at increasing opportunities for Scottish producers and strengthening the supply chain, such as the Delivering Growth Through Wholesale programme, Wholesale Local Food Champion training, and the recently launched Scottish Wholesale Local Food and Drink Growth Fund.