Sustainability update May 2025

EU companies increasingly lobbying for stronger climate action, report finds

Despite efforts by European industry associations to downsize the remit and scope of EU climate legislation, a new report generated by InfluenceMap, an NGO focused on promoting transparency on lobbying activity, indicated that corporations were increasingly supportive of science-based climate action and the wider ambitions of the EU’s Green Deal. Reacting to the report’s findings, analysts argued that growing corporate alignment with European climate goals reflected a “profound shift” in the region’s business dynamic, challenging a persistent narrative that green legislation impeded global competitiveness.

Analysing business engagement on climate policy across 200 of Europe’s largest corporations, InfluenceMap found that the share of companies directly aligned with pathways to meet global climate goals grew from 3% in 2019 to 23% in 2025. In the same period, the share of companies either fully or partially aligned with science-based climate policy engagement had more than doubled to 52%. Furthermore, the share of companies deemed to be “misaligned” fell from 34% to 14%. Interpreting the evidence, InfluenceMap concluded that rising corporate support for robust climate policies “likely reflects the long-term nature of corporate investment cycles that are not easily swayed by shorter-term political developments”. This reflects our own findings from our longstanding engagement programme on climate change: companies often emphasise that the stability of policy and investment environments is as important, if not more important, than the specifics of any one policy or regulation.

the share of companies directly aligned with pathways to meet global climate goals grew from 3% in 2019 to 23% in 2025.

The report also highlights the importance of ensuring alignment between the lobbying positions taken by a company and those of trade associations or industry groups it may be part of. Cross-sector industry associations advocating for member state and bloc-wide business interests have exerted significant pressure on the European Commission to backtrack on its climate commitments and slow the pace of Europe’s energy transition. 

Transparency on the alignment of lobbying activities with corporate net zero commitments remains a key element of our engagement activity on net zero – more information on our approach can be found in our latest Engagement Review. 

Annual Our Ocean Conference secures billions in funding commitments to protect and restore marine biodiversity

Taking place shortly after President Donald Trump signed an executive order expediting deep-sea mineral mining in the US, the tenth Our Ocean Conference in Busan, South Korea, secured 277 funding commitments totalling $9.1 billion to support the protection of the world’s oceans. The money will be used to fund measurable and impactful actions across six core themes: marine protected areas (MPAs); sustainable blue economies; climate change; maritime security; sustainable fisheries; and marine pollution. Green shipping will receive further support and nature-based solutions will be prioritised to improve marine health and enhance the capacity of oceans to regulate the climate. Additionally, almost $1 billion was pledged to scale up an evolving “digital oceans” theme where satellite imagery and AI are employed to monitor and catalogue ocean sustainability data. Delegates also pledged to identify and assess prospective future marine protected areas (MPAs), enhance protections for existing ones, and support the UN’s commitment to protect 30% of the planet’s land and seas by 2030. 

The tenth Our Ocean Conference in Busan, South Korea, secured 277 funding commitments totalling $9.1 billion to support the protection of the world’s oceans.

Legislative backtracking on marine protections in the US has significantly downsized the conservation remit of the National Oceanic and Atmospheric Administration (NOAA) and forced their compliance in rushing through deep-sea mining permits. In response, the International Seabed Authority reiterated a core principle of the UN Convention on the Law of the Sea that no nation has the right to order the exploration and exploitation of deep-sea mineral resources outside their national boundaries, despite the US not being a signatory. Global opposition to deep-sea mining has gathered momentum in recent years with 33 countries and a cohort of multinational companies, financial institutions, policy experts, and indigenous and civil society groups all supporting an international moratorium.

The Our Ocean Conference is considered a key precursor to the UN’s Ocean Conference (UNOC3) in June and the COP30 climate summit in November. Since its inception in 2014, it has secured 2,618 commitments to ocean and marine biodiversity protection with funding equivalent to $160 billion. Despite steady progress in the last decade, the UN estimates that $175 billion a year is needed for effective ocean conservation.

Our research team has shared further thoughts on the importance of sustainable oceans here.

UK and EU agreement to link Emissions Trading Schemes (ETS) eases domestic carbon tax burden

A strategic partnership agreed at the UK-EU ‘Reset’ Summit in London included a pledge to link both regions’ ETS which the Department for Business and Trade estimates will save UK exporters around £800 million in cross-border carbon taxes. A supplementary deal was struck to protect British-made steel exports from EU rules and tariffs that could save a further £25 million in annual taxes.

ETS limit the emissions that energy-intensive industries can produce. The EU established the world’s first ETS in 2005 and the UK developed its own scheme with a different regulatory and pricing basis after Brexit. The linking of the regions’ ETSs means there will be closer alignment between their respective Carbon Border Adjustment Mechanisms (CBAM). Widely supported across industries, CBAMs level the playing field for ETS participants exposed to competition from foreign firms subject to less stringent environmental regulations – importers will essentially pay the same carbon price as domestic manufacturers. Environmental economists, NGOs and trade association Energy UK had also previously advocated for policy changes to encourage broader alignment.

Earlier in the year, the European Commission courted controversy by delaying the implementation of its CBAM and relaxing reporting obligations for thousands of small- and medium-sized importers. The launch of the EU’s CBAM is now projected to coincide with that of the UK’s in January 2027. Supporters of the UK-EU strategic partnership insisted that CBAM alignment would provide businesses and investors with greater clarity on carbon policies, reduce administrative and cost burdens, and limit the prospect of future trade disputes. The partnership was also seen as a means for both regions to accelerate their decarbonisation efforts.

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