Climate and environment

We’re working to become more efficient with our resources and to increase business resilience as well as to positively impact the environment focused on three areas:

• decarbonise our operations; 
• decarbonise our value chain; and
• responsible resource consumption or environmental stewardship.

 

Decarbonising our operations

Our aim is to reduce greenhouse gas emissions (GHG) across our operations (Scopes 1 and 2) by 2030 and we continue to work towards our long-term target of achieving a net zero value chain by 2050. We’re making good progress and you can read more in our 2025 Annual Report.

We are predominantly focused on:

• Renewable energy ― implementing a strategy to address the transfer of electricity sourcing to renewable energy across our sites, providing energy security and future price certainty for the Group. We have power purchase agreements in place covering wind and solar projects. In the UK, at the end of 2025, around 50% of our current electricity requirements were met by renewable energy sources. We plan to have 90% of our UK and International electricity requirement met from renewable sources by 2030. 
• Optimise and reduce energy consumption ― through site consolidation, new-build and refurbishment projects. In addition, we’re switching to low carbon alternatives where feasible to heat our buildings.

 

Other projects include: metering; LED lighting installations; energy switching for fleet vehicles; and initial investments in heat pump and other gas-alternative heating systems. 

 

Decarbonising our value chain

We’re innovating to drive the decarbonisation of products and services for customers to deliver energy security, resilience and adaptation through:

• increasing energy efficiency;
• ensuring our platforms can operate using alternate fuels and in situ energy production;
• deploying electrification programmes; and
• identifying new technology opportunities.

 

A significant proportion of defence industry emissions come from upstream activities, so it's key that we collaborate and partner with our suppliers. We estimate, using recognised spend methodology, 80% of our carbon emissions come from less than 4% of suppliers. We’re prioritising engaging with these suppliers, many of whom already have active decarbonisation programmes in place. 

 

Environmental stewardship 

We’re working hard to reduce our impact on the environment, reduce our use of resources and protect the natural habitats at our sites where we operate.

We take efforts to be positive stewards of the environment and engage with the communities where we operate. 

We’re making our buildings more energy and water efficient, reducing waste and making efforts to conserve natural habitats in and around our sites.