NatWest Group aims to reduce its Scope 1 and location-based Scope 2 emissions by 70% by 2030, against a 2019 baseline. 2024: We have achieved a 60% reduction against our existing target to reduce Scope 1 and location-based Scope 2 emissions by 50% by 2030, against a 2019 baseline.
NatWest Group has a target to reduce absolute Scope 3 emissions from applicable categories 1-14 by 50% by 2030 from a 2019 baseline. 2024: We have achieved a 44% reduction.
Supply chain emissions
Our supply chain emissions formed 65% of our 2024 operational Scope 3 footprint, offering key opportunities for reductions.
- Total supply chain emissions have reduced by 40% between 2019 and 2024.
- As we predominately use spend-based methods, changes in influenced spend will directly impact emissions.
- An update to the industry-average emission factor database has been the main contributor to the reduction in purchased goods and services emissions in 2024. Therefore, we continue to work with suppliers to obtain supplier-specific data to reduce our reliance on industry averages emission factors and to measure supplier emissions trajectory to help inform choices across our supply chain.
- We provided suppliers who accounted for 70% of our reported 2023 supply chain emissions with free access to respond to the CDP supply chain module. We communicated our decarbonisation ambitions and the role of both CDP and EcoVadis in our decarbonisation journey to the suppliers who account for the highest contribution to our supply chain.
Refer to the NatWest Group 2024 Sustainability Basis of Reporting for further details on our updated methodology emissions
Looking ahead: supplier emissions
As our supply chain emissions account for the majority of our operational carbon footprint, we aim to use supplier climate data with ESG risk combined weightings to measure supplier climate maturity and help inform choices across our supply chain. Supported by:
- Engagement: Expand our supplier and business area engagement during 2025 to further develop cross-departmental support as well as supplier and service specific data provision.
- Data: Continue to improve the accuracy of our emissions reporting through experimentation.
- Insights: Utilise further third-party data to gain additional insights on our supplier base.
Measuring the sustainability of our supply chain
To improve and maintain our sustainability performance across key areas including environment, labour and human rights, ethics, and sustainable procurement we continue to encourage our suppliers to complete an EcoVadis assessment. 74% of NatWest Group’s contracted supplier spend either possess an active EcoVadis scorecard or have submitted a new assessment and are in the process of receiving a new scorecard. Collectively suppliers have improved their EcoVadis scores year on year, averaging 13% higher than the EcoVadis Global Average. NatWest Group scored 68% overall in 2024 (67% in 2023), ranking in the 89th percentile.
Supply chain manager training
During 2024, 97% of supply chain managers completed our climate training, aiming to empower colleagues who work with suppliers with the skills to lead effective climate conversations. The training consisted of four modules, each designed to build knowledge on key climate topics.
