The UK's business and professional services sector is rapidly adapting to the demands of sustainability.

With increasing pressure from clients, investors, and regulators, businesses are now expected to demonstrate measurable progress on environmental, social, and governance (ESG) issues. This includes everything from carbon footprint reduction to transparency in supply chains and sustainable investment strategies.

One of the key drivers for this change is the anticipated implementation of the Cyber Security and Resilience Bill. This legislation, expected to pass in the coming year, focuses on enhancing the UK’s cyber defences, requiring businesses to adopt stricter cybersecurity measures. However, this bill also emphasises a holistic approach to business operations, aligning sustainability and cybersecurity. Companies in the professional services sector are thus increasingly considering their environmental impact as they prepare for compliance with both cybersecurity and sustainability regulations(1).

In addition to legal pressure, many firms are being asked by clients to report on their ESG performance. This has become particularly important for businesses looking to secure or retain contracts with larger corporations or government entities, where sustainability is a significant factor in procurement decisions. Many clients, especially those in the financial services industry, are demanding higher levels of transparency about their suppliers' environmental practices, thus reinforcing the need for business transformation(2).

For firms in the sector, the journey towards sustainability often starts with measuring their energy consumption, waste, and carbon emissions. Investing in energy-efficient systems and adopting digital technologies can significantly reduce a firm’s environmental impact. With many clients now incorporating sustainability into their core business strategies, professional services firms are finding that aligning their practices with these expectations can offer competitive advantages.

As we move forward, ensuring compliance with emerging regulations while demonstrating commitment to sustainable practices will be critical. Taking action now-whether through energy efficiency, waste reduction, or carbon reporting-will not only meet regulatory requirements but position businesses as leaders in an increasingly eco-conscious market.

Bibliography

1Cyber Security and Resilience Bill: policy statement (Accessed May 2025) https://www.gov.uk/government/publications/cyber-security-and-resilience-bill-policy-statement

2 Responding to ESG risks and challenges – A priority for the finance sector (Accessed May 2025) https://www.ukfinance.org.uk/news-and-insight/blog/responding-esg-risks-and-challenges-priority-finance-sector