A new government-backed review is poised to assist small businesses in the UK in seizing growth opportunities by embracing sustainability practices. The Willow Review, an independent review, aims to showcase how sustainable methods can drive profitability, innovation, and long-term growth for the nation’s 5.5 million small businesses. The recommendations focus on simplifying sustainability action plans, promoting a positive narrative, and enhancing access to finance, among other initiatives. Michelle Ovens CBE, Founder of Small Business Britain and co-chair of The Willow Review, emphasised the potential of sustainability to boost small business growth while benefitting the wider economy and the environment.
With the backing of the government, The Willow Review has put forth ten recommendations to empower small businesses to leverage sustainability for growth. Gareth Thomas, Minister for Small Business and co-chair of The Willow Review, highlighted the vital role of small businesses in driving economic growth and the significance of sustainable initiatives in supporting their expansion and success. SMEs in the UK are responsible for around 50% of business-driven emissions, yet the adoption of sustainability practices among small businesses remains limited due to perceived financial constraints and concerns regarding initial costs.
Since its inception in November 2024, The Willow Review has conducted extensive research to understand the barriers hindering small businesses from embracing sustainability. The forthcoming final report in June 2025 will present in-depth recommendations aimed at catalysing a widespread shift towards sustainability among small businesses over the next five years. The review intends to establish Taskforces to further investigate and provide practical insights and data on the financial benefits of sustainability.
The review’s forthcoming recommendations will include the development of a simple ‘five-point sustainability plan for small businesses’ to help them identify cost-saving measures and implement changes that foster growth. Additionally, The Willow Review will explore the role of financial institutions in supporting small businesses through green finance education and innovative financing solutions. Recommendations also call for the government to enhance visibility and accessibility of sustainability grants and reframe sustainability messaging to focus on growth and profitability.
The importance of fostering SME Sustainability Networks to facilitate knowledge-sharing and mentorship programmes among small businesses is underscored by The Willow Review. The government is urged to provide long-term policy clarity to instil confidence in small businesses’ sustainability efforts and ensure their continued commitment to sustainable practices. By involving various stakeholders such as financial institutions and business support organisations, the review aims to drive positive change and create a conducive environment for small businesses to thrive sustainably.
In conclusion, The Willow Review presents a promising pathway for small businesses in the UK to harness the benefits of sustainability and drive growth while contributing to a greener and more resilient economy. The recommendations put forth have the potential to empower SMEs to adopt environmentally friendly practices, unlock new opportunities, and contribute to a more sustainable future.