Ethical Investing trends in 2025
In the UK, there is a sustained and continued growth of interest towards ethical investing.
This means that consumers and investors are keeping tabs on companies that can demonstrate a qualified commitment to ESG good governance.
Recent studies have shown that 57% of UK investors hold ethical or ESG aligned investments.
Amongst consumers, the rate of positive attitudes towards ESG good governance is even higher, with studies showing 88% of consumers expressing greater loyalty towards companies/businesses that can prove and demonstrate a constructive commitment to ESG initiatives.
UK businesses are also increasing the amount of resources that they are dedicating to managing and maintaining their sustainability goals, with 40% reporting that their company has established a dedicated ESG department or team.
There are many unique ways through which companies are demonstrating their commitment to ESG good governance, such as pursuing third-party accreditation, such as through the B-Corp impact assessment, through first-party measuring and monitoring of key ESG performance indicators, and proliferating their successes and progress through social media campaigns.
Companies that fail to meet the moment of the ESG challenge are potentially facing a backlash from consumers, with 76% reporting that they would consider ceasing, or reducing their activity with companies/services that treat the environment poorly.
There is also a generational trend with investors, which shows that Gen-Z investors are leading the green wave, with 66% surveyed stating that they are actively prioritising ethical investments.
The UK is uniquely advanced with advocacy for ESG good governance, with studies showing that 40% of UK based respondents stating that their company has set aside resources for dedicated ESG teams.
It is also notable that while there is a growing appetite for ethical investments. Investors are also becoming more critical of who they choose to invest in, with many concerns about how recipients of funds are maintaining and sustaining progress towards their ESG objectives. This highlights the importance of companies developing effective and smart objectives which can reliably fulfil the objectives of investors and maintain the relationship businesses and ethical investors.
The global ESG asset management market is showing remarkable growth. The sector is expected to reach a market value of $56.1 trillion over the next five years, highlighting the incredible opportunity for companies to engage and work with objectives that align with ESG good governance.
It is becoming increasingly important for companies to dedicate resources towards the maintenance, achievement, and planning, of a comprehensive and ambitious ESG gameplay. With the powerful potential of ethical investment, your business can attract a significant amount of resources to power expansion, resilience, and performance.
Get in touch today with Green Echo Consulting, and explore the various options by which your business can benefit form dedicated resources to formulate and achieve your ESG objectives.