Businesses believe benefits of decarbonisation outweigh costs of meeting Net Zero

Businesses are reframing how they talk about net zero but remain committed to decarbonisation and wary of the cost of inaction, according to BSI’s 2026 G7 ‘temperature check’.

With heightened geopolitical instability and the oil crisis placing greater emphasis on energy security and the shift to renewable energy, the study shows that three in four business leaders (74 per cent) think the economic risks of not transitioning are greater than the risks of doing so.

However, three quarters (76 per cent) said policy uncertainty around net zero makes it difficult to invest confidently. In general, the polarised debate is seen as an unhelpful distraction; 83 per cent want their governments to encourage and support businesses on net zero. In line with this, G7 business leaders are reframing the net zero conversation rather than rolling back on action. 61 per cent admitted shifting how their business promotes or communicates net zero actions in response to climate scepticism in the media or politics in the last 12 months.

The majority (81 per cent) also expressed concern about future costs and their business’s resilience if it does not prepare for climate change, while three quarters said the cost of transitioning was outweighed by the long-term benefits (75 per cent).

More than three quarters (77 per cent) agreed climate change could disrupt their supply chain, while three quarters said their net zero efforts were important for future resilience (75 per cent). Despite this, only a fifth had undertaken climate risk adaptation planning (a third said this was in process) and just 21 per cent had invested in renewable energy procurement.

Susan Taylor Martin, Chief Executive, BSI said:

“Recent geopolitical events have brought into stark focus the need for energy security and the important role played by renewable and low carbon energy. They have also shown the importance of adopting a resilience mindset when it comes to climate change, focusing on risk mitigation, supply chain management and future preparedness.

“What’s clear is that many business leaders are already thinking this way, and have recognised that the cost of not investing in net zero could threaten their operations in the long term. The next step is to bridge the gap between ambition and action through climate risk adaptation measures.

“Uncertainty and disruption are increasingly the defining characteristics of the global economy. Our role as BSI is to provide clarity, consistency and trust through standards, as businesses globally grapple with the transition to a net zero future.”

For more information and to access the full research, click here.