The commercial case for sustainability has reached a critical mass, placing it firmly on the agenda of many businesses globally.

To explore how the climate transition is helping unlock a new era of business growth, we surveyed 1,651 senior business decision makers and 500 global institutional investors across 12 markets as part of our Sustainability Pulse Survey (opens in new window).

According to the findings, 95% of corporates view sustainability as a commercial opportunity and 99% say they expect it to drive differentiated competitive advantage over the next three years.

Growing demand

Corporates are now treating sustainability as an essential part of the value creation process. This is because the use of data is making it so much easier to measure return on investment. Businesses are also increasingly required to demonstrate their environmental, social and governance (ESG) credentials in order to participate in commercial supply chains.

This means that transparency regarding environmental impact is no longer optional – it’s an important requirement for securing capital, risk management and ensuring long-term business success.

As a result, there’s growing demand for simplifying the carbon reporting process for operators to ensure they can maintain competitive advantage.

Business transformation

The number of corporates that expect to invest more than 10% of their total capital expenditure in climate transition or sustainability-related investments will double in the next three years, according to our survey.

In addition, many clients have identified a pressing need to scale up the technology underpinning climate transition.

Businesses are increasingly aware of climate tech’s potential to transform business models and strengthen business ecosystems.

Sustainable investment

Investment in these areas can help enable the clean energy transition, improve resource efficiency and strengthen resilience, such as physical risk, in the face of today’s commercial realities.

Strong ESG performance is also linked to better access to long-term capital, governance, lower volatility, and stronger stakeholder engagement.

For businesses, this presents a real opportunity. Those that can demonstrate credible, scalable models will be well placed to attract long-term capital from investors seeking both sustainable and resilient returns.

Read the full interview (opens in new window).

Our Net Zero Transition Plan 2025

Find out more about how we’re supporting our customers and our ambition to become a net zero bank by 2050.