Key findings
- 55% of organisations have a formal net zero or carbon neutrality target.
- 30% have made it public with a target year.
- 15% also fund it above 5% of capital expenditure. That is half of those with a public target.
- 3% have a public, funded target, a board-approved transition plan and comprehensive Scope 3 measurement.
How many companies have a net zero target?
Just over half. We surveyed 500 sustainability decision-makers in the US and the UK. 55% say their organisation has a formal net zero or carbon neutrality target.
Fewer have gone public. Three in ten (30%) have a target that is public and has a year attached.
How many are funding it?
Half of those. Only 15% of all organisations have a public target and directed more than 5% of last year's CapEx to climate-aligned investment.
From there the numbers keep falling. 8% also have a board-approved transition plan. 3% also measure their Scope 3 emissions comprehensively.
Nobody is walking away from net zero. The funding is thinning out instead
Share of all organisations at each stage of commitment
View data
| Answer | % |
|---|---|
| Context: Names climate as a top-three business challenge | 44% |
| Stages of commitment: Has a formal net zero target | 55% |
| Target is public with a target year | 30% |
| … and funds it above 5% of CapEx | 15% |
| … and has a board-approved transition plan | 8% |
| … and measures Scope 3 comprehensively | 3% |
The commitment gap
What is stopping companies delivering?
Money, then data. We asked respondents to name the single biggest internal obstacle to meeting their climate commitments, in their own words. Of the 340 who answered, a third (32%) describe budget and competing demands on capital. A quarter (24%) describe data quality and measurement.
“Our transition plan is board approved but it is not funded. That is the honest answer.”
Sustainability Manager, transport and logistics
“We are reporting numbers I would not want to defend under assurance.”
Chief Sustainability Officer, transport and logistics
Asked what’s stopping them, they don’t say ambition
What is the single biggest internal obstacle to meeting your climate commitments? (Open text, coded by theme)
View data
| Answer | % |
|---|---|
| Budget and competing capital demands | 32% |
| Data quality and measurement | 24% |
| Supply chain and suppliers | 15% |
| Senior sponsorship and mandate | 12% |
| Political and external pressure | 11% |
| Competing business priorities | 8% |
What this means
The story told about corporate climate action is one of retreat. That is not what the data shows. Targets are still there. What is missing is the capital, the governance and the measurement that turn a target into a plan.
For anyone assessing a company, whether as an investor, a customer or a journalist, the target itself tells you very little. Ask three things: is it funded, who on the board owns it, and is Scope 3 measured. Two kinds of company give the same answer to the first question and opposite answers to the rest.
Frequently asked questions
How many companies have a net zero target?
55% of organisations have a formal net zero or carbon neutrality target, according to a survey of 500 US and UK sustainability decision-makers by The Reality Department. 30% have made it public with a target year.
Are companies funding their net zero targets?
Half of those with a public target are. 15% of all organisations have a public target and direct more than 5% of CapEx to climate-aligned investment.
What is the biggest obstacle to meeting climate commitments?
Budget. 32% of sustainability leaders name budget and competing capital demands as their biggest internal obstacle, followed by data quality and measurement (24%).
Methodology
The Reality Department surveyed 500 people who hold or directly influence sustainability decisions at their organisation: 250 in the United States and 250 in the United Kingdom. 94% hold a dedicated sustainability role. Fieldwork: August 2026. The survey had 31 questions.
Related: The four types of company on climate
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