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Operational emissions

Our Scope 1 and location-based Scope 2 emissions have decreased by 66% compared with our 2019 baseline, and applicable operational Scope 3 categories have reduced by 47%.

We recognise that addressing climate change requires action across all areas of our organisation. Although operational emissions(1) represent a small proportion of the bank’s total footprint (3% as at 31 December 2025), reducing them helps us to contribute towards the UK’s legal obligation and respond to increasing legal, regulatory and stakeholder expectations. In February 2025, we refreshed our ambition to reduce Scope 1 and location-based Scope 2 emissions(2) from 50% to 70% by 2030, against a 2019 baseline. Our focus has since shifted to delivering against this enhanced ambition, while also progressing towards our ambition of reducing Scope 3 operational emissions from applicable categories 1-14 by 50% by 2030, against a 2019 baseline.(3) We remain committed to aligning our ambitions with pathways grounded in the latest climate science and consistent with global climate goals, however we will no longer seek formal validation of our targets from SBTi. The below table and pages 15 and 16 of our 2025 Climate Transition Plan Report highlight key progress made to date.

(1) Our operational emissions comprise greenhouse gas emissions for Scopes 1, 2 and Scope 3 (categories 1-14, excluding categories 8, 10, 14) and do not include Scope 3 category 15 financed emissions. For details of the Greenhouse Gas Protocol including upstream and downstream refer to diagram of scopes and emissions across the value chain.

(2) Our ambition is location-based to drive absolute reductions in consumption. Location-based GHG emissions method reflects the grid-average emissions. Market-based emissions reflect purchased electricity sources (e.g. renewables), which have near-zero emissions. Refer to Streamlined Energy and Carbon Reporting (SECR) disclosure, included on page 56 of the NatWest Group plc 2025 Annual Report and Accounts, for further details of the basis of GHG emissions reporting.

(3) Our 2019 baseline runs from 1 October 2018 to 30 September 2019 and our operational emissions reporting year runs from 1 October to 30 September.

(4) Property portfolio here refers specifically to NatWest Group’s UK offices, branches, and data centres, as well as offices in India, where energy efficiency measures are most relevant.

 (5) Influenced spend refers to spend associated with the procurement of purchased goods and services over which NatWest Group has direct control. It excludes spend categories such as regulatory fees, commission and general fees, international taxes, and customer pass‑through costs.

(6) Science-based targets are emissions-reduction goals grounded in the latest climate science, designed to achieve the pace and scale of decarbonisation consistent with keeping global temperature increases well below 2°C, in line with internationally agreed temperature limits.

(7) We incorporated data quality improvements into the 2025 emissions estimates. To maintain consistency and accuracy, where possible, in 2019 and 2024 we also updated estimates as a result of exceeding our 5% re-baseline threshold. Refer to page 45 for details.

(8) Using green tariffs and purchased renewable electricity certificates. Tariffs are labelled as green if some or all of the units of electricity are ‘matched’ by units generated from a verified renewable energy source.

Improving the energy efficiency of our offices and buildings

Supply chain sustainability

In 2025, supply chain emissions(1) of 0.3 MtCO2e accounted for around 60% of our operational emissions, underscoring the important role of supplier engagement in achieving our 2030 ambitions.

While reducing these emissions is only partly within our control, due to supplier autonomy and market factors, proactive engagement and partnership remains critical to driving progress. Since 2019, these emissions have reduced by 44%, driven primarily by lower UK service industry emissions and changes in influenced spend, as we predominately use spend-based methods.

In 2025, as part of NatWest Group’s supplier decarbonisation maturity framework assessment, we engaged 329 suppliers representing the largest share of our 2024 supply chain emissions, covering 74%.

Emissions disclosure

We continue to work closely with suppliers to obtain supplier-specific emissions data(2), reducing reliance on industry-level emission factors. Through CDP and annual reports in 2025, 43% of supply chain emissions were calculated using supplier-specific data, up from 39% in 2024. Increasing both the volume and quality of supplier disclosures remains a priority for 2026 and beyond, as it is important for enhancing transparency and enabling more accurate tracking of decarbonisation progress.

 

Net-zero-aligned supply chain

To further assess suppliers against the maturity framework, we initiated engagement on science-based targets with suppliers contributing most to our emissions. In 2025, 161 suppliers were deemed net-zero-aligned(3), representing 44% of 2025 supply chain emissions of 0.3 MtCO2e. Suppliers without Scope 1, 2 and 3 targets received tailored support via webinars, training and drop-in sessions, reinforcing the role of CDP and EcoVadis in driving progress and encouraging suppliers on their journey towards a science based trajectory.

Transition planning

In 2025, we piloted a Service Carbon Footprint (SCF)(2) and decarbonisation roadmap with the supplier that contributed most to our emissions, laying the groundwork for scaling across our supply chain. Looking ahead, we intend to deepen focus on transition planning and product-level emissions data in high impact areas such as technology and property.

 

For further information on supply chain sustainability, please visit our dedicated webpage.

Information Message

(1) Supply chain emissions are Scope 3 categories 1 (Purchased Goods and Services), 2 (Capital Goods), and 4 (Upstream Transportation and Distribution).

(2) Supplier‑specific emissions data uses verified Scope 1, location‑based Scope 2 and upstream Scope 3 emissions reported by the supplier, rather than industry‑average emission factors applied by spend category or SCFs. SCF emissions are measured using activities typically involved in delivering a service, rather than allocating based on spend.

(3) We define net-zero-aligned suppliers as those with Scope 1, 2 and 3 science-based targets; partially aligned suppliers have either Scope 1 and 2 targets or a Scope 3 target only.

(6) For emissions from CDP disclosure to meet minimum requirements for inclusion in NatWest Group supply chain emissions calculations, suppliers’ Scope 1 and 2 data must be third-party verified or internally validated by NatWest Group to prevent year‑on‑year anomalies. Out of scope emissions relate to suppliers not included within the 2025 engagement process.

Our Carbon Reduction Plan

We have published our Carbon Reduction Plan (PDF, 347 KB) in response to Procurement Policy Note (PPN006) of the UK Government (Taking Account of Carbon Reduction Plans in the procurement of major government contracts). Within this Carbon Reduction Plan, we cover our Scope 1, 2 and 3 carbon footprint relating to our own operations activities within the UK, including our offshore operations. The Scope 3 values presented here differ from those in our streamlined energy and carbon report due to the Scope 3 categories requested by the UK Government. Our direct own operations Scope 3 includes paper, water, waste, business travel, commuting and working from home; our operational Scope 3 includes suppliers, transportation and distribution, energy and fuel related activities not included in Scope 1 and 2; our Carbon Reduction Plan Scope 3 includes waste, business travel, commuting, upstream transportation and distribution, and downstream transportation and distribution.

Important information

This webpage includes, among others:

  • Climate metrics, such as estimates of historical emissions including, absolute emissions, and various emissions intensity metrics, and other information;

and

  • Forward-looking climate metrics, such as aims, ambitions, estimates, forecasts, plans projections, targets, and estimated climate projections and forecasts.

 

Climate metrics, whether historical or forward-looking, are more inherently uncertain and therefore less reliable than metrics based on historical financial statements. Further to it, forward-looking climate metrics are more uncertain and less reliable than historical climate metrics due to their forward-looking nature and assumptions about future matters that are not certain.

For further cautions on climate-related and other forward-looking statements and metrics, refer to pages 68 – 74 [YM(SCOO1] of the 2025 Climate Transition Plan Report.

Caution about references to websites, reports and other materials. This webpage may contain references to websites, reports and other materials prepared by third parties that are not affiliated with NatWest Group. Reference to such websites, reports and other materials is made for information purposes only and information available on such websites, in such reports and other materials is not incorporated by reference into this report. Readers are advised to exercise caution and conduct their own due diligence when relying on information from these third-party sources. To the extent permitted by law, NatWest Group makes no representation, warranty or assurance of any kind, express or implied, or takes no responsibility or liability as to the fairness, accuracy, reliability, reasonableness, correctness or completeness with respect to any such websites, reports and materials.

For more information on climate data included within this webpage refer to:

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