Approach
We recognise that being sustainable makes us more efficient, helps us to win work, engages our employees and benefits communities and the environment. This is why our sustainability commitments are integral to our strategy. Importantly, they are at the core of delivering stakeholder value.
Our commitment to sustainability
Sustainability underpins our long-term success as a business and is a core part of how we operate. We monitor our Environmental, Social and Governance (ESG) practices and performance through a robust structure and are committed to publicly reporting our progress across six fundamental areas: our people, health and safety, environment and climate change, communities, clients, and supply chain.
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Sustainability pillar |
Objective |
KPI |
FY21 |
FY22 |
2026 ambition |
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Health and safety |
Prioritising health, safety and wellbeing and ensuring no harm to anyone linked with our operations. |
Accident Frequency Rate
|
0.08 |
0.06 |
No harm. |
|
Lost Time Incident Rate |
0.26 |
0.26 |
No harm. |
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|
Our people |
Creating an inclusive environment and progressive culture that enables all individuals to reach their potential. |
Early careers as a % of total employees |
7.2% |
6.1% |
Year-on-year increase. |
|
Women as a % of total employees |
23% |
21.2% |
Year-on-year increase. |
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|
Employee advocacy |
Not measured |
85% |
>80% |
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Environment and climate change |
Adopting sustainable resourcing and consumption practices and taking measures to mitigate carbon production and climate change to protect our environment and biodiversity. |
Scope 1 and 2 carbon emissions (CO2e tonnes) |
11,525 |
10,795 |
Net zero by 2030. |
|
Scope 3 carbon emissions (CO2e tonnes) |
Not measured |
6,040 |
Net zero by 2045. |
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|
Waste intensity (tn/£100k revenue) |
7.6 |
20.96 |
Year-on-year reduction. |
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|
Communities |
Making a positive impact in communities where we operate by delivering greater social value and improving lives. |
% of completed projects delivering >25% SLEV as a % of contract value |
Not measured |
50% |
60% |
|
Considerate Constructors Scheme performance |
40.6 (industry ave. 38.0) |
41.8 (industry ave 39.0) |
>38 and above industry average. |
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Clients |
Delivering lower carbon, superior buildings and infrastructure with a better social footprint for clients in our chosen markets through a focus on innovation, digitalisation and quality. |
% of repeat business in our order book |
92% |
94% |
>80% |
|
% of full year planned revenue secured at the start of the financial year |
90% |
90% |
>85% |
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|
Supply chain |
Aligning our supply chain with our culture and creating collaborative relationships that deliver best practice, innovation and sustainable outcomes for clients, communities and the environment. |
% of business unit core trades spend with Aligned subcontractors |
59% |
60% |
70%–80% |
|
Prompt payment – % of invoices paid within 60 days |
93% |
98% |
>95% |
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Sustainable financial returns |
|
2026 target |
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Finance |
Earn a sustainable return on the value we deliver. |
Focus on bottom line margin growth |
Divisional operating margin 2.0% |
Divisional operating margin 2.4% |
Divisional operating margin growth to 3.0% |
|
Disciplined contract selection and sustainable revenue growth |
Revenue £1,125m |
Revenue £1,1237m |
Revenue growth towards £1.6bn |
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Maintain strong balance sheet |
Average month end cash £164m |
Average month end cash £174m |
Operating cash generation |
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Sustainable dividends |
Dividend cover of 2.0x |
Dividend cover of 2.0x |
Dividend cover of 2.0-2.5x |
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Management
The Executive Board has overall responsibility for setting policy and monitoring our sustainability performance as a standing agenda item. Main Board oversight of sustainability performance is also maintained through the Stakeholder Steering Group and the Carbon Reduction and Social Value Forum. These are chaired by the Senior Independent Director, and Finance Director, respectively.
