47153 AG Barr Annual Report 2025 AW4 SQ WEB - Flipbook - Page 41
Strategic Report
Our Executive teams are responsible for the delivery
and execution of our responsibility actions and
programmes, supported where appropriate by
sub-committees and functional or project teams.
Further information on the governance of our
climate-related risks and opportunities is detailed
in our TCFD and CFD disclosures, as follows.
Climate
Governance
Board of Directors
‘AA’
The AG Barr Board has accountability for
the oversight of climate-related risks and
opportunities impacting the Group.
Rating from MSCI maintained
The Board of Directors considers climate-related
risks and opportunities when reviewing and
agreeing the Company strategy, agreeing future
objectives, budgets and KPIs, setting policies
and when considering potential M&A activity.
Independent assurance
We have continued to work with third party
assurers, the Carbon Trust. Over the past 12 months,
they have completed a review and verification
of our Group operations for Scope 1, 2 and 3
emissions for the year ended January 2024
against the 14064-3 standard.
Scope 1 and 2 verification for the year ended
January 2025 is underway.
Having developed the world’s first certification
for organisational CO2e Reduction Standard
and product carbon footprints, the Carbon Trust
is a leading carbon footprint certification body.
ESG-related corporate ratings
During 2024, we received a Silver Medal
classification from EcoVadis, placing us in the top
15% of companies reporting through the platform.
We understand that our customers have their
own Scope 3 emissions targets and supplier
engagement goals, so we endeavour to meet
those requirements by completing additional
external reporting through organisations such
as EcoVadis and Manufacture 2030.
We have also maintained our ‘AA’ rating from MSCI,
through an assessment that includes corporate
governance and behaviour, along with industryspecific ESG-related risks. This classifies us as
‘leaders’, sitting in the top 15% of our reporting peers.
We have a Climate Disclosure Project (CDP)
B classification.
Further information on our corporate governance
framework can be found on pages 66 to 80.
Corporate Governance
TCFD and CFD disclosure
The Task Force on Climate-related Financial
Disclosures (TCFD) and the Climate-related
Financial Disclosure (CFD) requirements both
provide a framework for companies to report the
potential financial impacts from climate change
on their business. They also require reporting of
the progress made by the organisation against
the targets set to mitigate climate-related risks
and to reduce its impact on the environment.
These frameworks are designed to help
investors and wider stakeholders understand
how businesses are managing climate-related
financial risks, across four key areas:
Governance – setting out the respective roles of
the Board and management team in managing
risks and opportunities.
Strategy – identifying risks and opportunities
over different time horizons and explaining how
these impact strategic and financial planning.
Risk Management – having processes in place
for managing identified risks and including
these within the overall risk management
framework.
Metrics and Targets – explaining how both
climate change impact and exposure to risks
are measured, setting targets and tracking
ongoing progress.
Using this framework we set out our full
disclosures below.
The Board carries out a full review of the Group
corporate risk register and principal risks,
including those related to climate change, twice
a year. In addition, the Board regularly discusses
climate-related issues across a variety of Board
meeting agenda items. These include matters
arising from its sub-committees, particularly
from the Environmental, Social and Governance
(ESG) Committee, as well as from general
business updates, where climate-related issues
Accounts
will often be integral. Examples during the year
include discussions on science-based targets,
our net-zero roadmap, as well as the approval
of our strategic capital investment programme,
incorporating projects which will contribute to
greenhouse gas emission reduction. During the
year, the Board received ESG training from an
independent third party adviser.
A structured process for identifying and
quantifying emerging risks and opportunities
across the Group, similar to our risk management
approach, provides a framework to support
broader thinking on new and emerging areas,
including those related to climate change.
With input from all of our Executive teams,
this plays an important role in the Board’s
strategic planning process. The Board completed
a robust assessment of the Group’s emerging
risks, including those related to climate change,
during the year.
Executive Committee
Board
Group Risk Committee
Audit and Risk Committee
“No Time To Waste”
Steering Committee
ESG Committee
Capital Allocation Committee
Remuneration Committee
Nomination Committee
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