47153 AG Barr Annual Report 2025 AW4 SQ WEB - Flipbook - Page 59
Strategic Report
Corporate Governance
Accounts
Principal risks and uncertainties
Net risks relating to the Group
Strategic priorities:
Connecting with consumers
Movement:
Building brands
No change
Driving efficiency
Increased
Net risk
rating
Risk
Impact
Gross risk movement during the year
Controls and mitigating actions
Environmental
sustainability and
climate change
considerations could
lead to Government
intervention on
climate change and
environmental issues
and/or changes in
consumer or customer
behaviour
Government intervention on climate
change and environmental issues, e.g. the
introduction of a Deposit Return Scheme
(“DRS”) in the UK or the introduction of a
carbon tax, and/or changes in consumer
or customer behaviour in response to these
issues could have an adverse impact on
consumer consumption patterns, sales
and operating profits.
Pressure from a range of stakeholders in
relation to various environmental sustainability
and climate change concerns has continued
during the year. We have taken appropriate
mitigating actions to ensure no change to
the net risk rating.
We have clearly defined responsibility
High
commitments with regard to net-zero, packaging,
sustainable sourcing, water, waste and energy.
We have near and long-term science-based
emission reduction targets in place which are
aligned to the Science Based Target Initiative’s
Net-Zero Standard. Various environmental
sustainability related workstreams continue
to make good progress under our “No Time To
Waste” (“NTTW”) environmental sustainability
programme – further details are set out below.
Building trust
Decreased
New
Net risk movement
during the year
We continue to work constructively with the
British Soft Drinks Association, Governments,
and other key stakeholders in relation to potential
interventions, such as the planned introduction of
a UK DRS in October 2027.
Loss of product
integrity
A loss of product integrity in the
manufacturing supply chain could
lead to a product withdrawal or recall.
No change
Appropriate risk assessments are carried out
Moderate
on a regular basis and robust quality controls
and processes are in place to maintain the high
quality of our products. Product recall procedures
are tested regularly. All of our manufacturing
sites have an AA+ British Retail Consortium
(“BRC”) rating. Quality Committees are in place
at our Cumbernauld and Milton Keynes sites to
enhance employee participation and improve
our quality culture.
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