Maintaining high levels of integrity, transparency and good governance.
We have set out below how we think about our ESG Governance processes and responsibilities.
Our progress
FY2022:
What we said we would do
- Form a Sustainability Committee to take responsibility for overseeing the enhancement of Redde Northgate’s ESG strategy, policies, and initiatives.
- Measure and report the indirect Scope 3 emissions from our upstream and downstream activities.
FY2023:
What we have done
- Formed a Sustainability Committee which is chaired by the CFO and made up of senior representatives from across various operations and functions of the company.
- We have taken a “whole lifecycle” approach to measuring and reporting the Scope 3 carbon emissions of our value chain.
- We have undertaken a double materiality assessment to better understand the link between inward and outward impacts of an issue as well as report materiality in a more meaningful way to stakeholders.
FY2024:
What we plan to do
- Work will be carried out to update policies, so they reflect planned enhancements to the ESG framework, expected during FY2024.
- Develop targeted strategies for reducing Scope 3 emissions within an overarching net zero transition plan.
Board oversight
Our Board of Directors has ultimate responsibility for the Group’s ESG strategy and activities, including oversight of climate-related issues. It has responsibility for reviewing best practice and key issues related to ESG strategy and governance, with the CEO reporting on progress against KPIs and targets set.
The Board also takes responsibility for the effectiveness of the monitoring of long term non-financial objectives and risks relating to climate and sustainability, which are embedded into the Group’s risk strategy and management framework and independently reviewed by the Audit Committee. This Committee reports its findings to the Board on a regular basis, and formally at least twice a year. Further details of our corporate governance activities can be found in the Corporate Governance section of our Annual Report.
CEO and management responsibility
Ultimate responsibility for climate change considerations and mitigating actions is ascribed to the CEO, with day to day management delegated to the Group Management Boards, comprising business and function heads.
The CFO is responsible for the TCFD programme and development of relevant KPIs and net zero strategy. Given the move to EV and non-ICE vehicles is central to the Group’s business as well as supporting our ESG transition activities, these are managed as part of the Group’s corporate strategy and normal business activities.
Executive functions with oversight and responsibility for other ESG matters include the Head of ESG, the Head of Group Safety and Environment in the UK and the Director of Development and Sustainability in Spain.
Our Code of Business Conduct, applicable to all employees of Redde Northgate, sets out our ethical standards and guidance
on behaving responsibly. This code and our statement of compliance with the Modern Slavery Act 2015 are contained on our website. Compliance training is conducted and tracked through our e-learning platform.
The Group has a formal whistleblowing policy and procedures ensuring every employee can have a voice and a means to raise concerns to the Group. The Chair of Audit Committee holds ultimate responsibility for managing any complaints; in FY2022, no matters were identified as sufficiently material to be escalated for their attention.
We are currently upgrading and centralising our IT platforms, which will also enhance the ability to manage vulnerabilities in data security and privacy. All employees must complete information security training, and we set a number of rules and procedures in our contact centres to mitigate particular risks.
Our IT function works closely with the Business Change Teams across the Group to assess the proposed and developing projects and ensure best practice is adhered to. We conduct vulnerability scanning, have rolling penetration testing scheduled across all the businesses in the Group for the external facing systems, and conduct penetration testing for any new external system developments before they go live. Our information security management system identifies the security and policy statements and ensures the necessary audits are undertaken to evidence our compliance.
With a significant number of suppliers and partners at local and Group level, our suppliers are an integral part of our business and value chain. We seek to treat all of our suppliers responsibly and ensure fair engagement practices and payment terms. We actively engage with suppliers to ensure compliance with our code of conduct, which includes provisions on human rights and environmental standards.
Our procurement capabilities and expertise are being enhanced at Group level, working closely with each of the businesses to standardise practices and policies; including the onboarding of new suppliers who must sign and comply with our ethical trading statement, covering modern slavery, bribery and corruption. Regular audits of the supplier network are undertaken in key areas of the business.
As a Group, we value industry association participation, as we believe it important to contribute to discussions that drive innovation in our sector as a whole and encourage our employees to take an active role. The BVRLA is the UK trade body for companies in the sector and our Fleet Director is its Deputy Chair of the Commercial Vehicle Committee. Other parts of the Group are active members of their local trade associations, such as the Irish Motoring Industry and the Spanish AER and FENEVAL.
We have supported the BVRLA on a number of policy matters, including engaging with OZEV, DfT and BEIS on areas which it believes will help accelerate the adoption of EV and other low emission vehicle solutions.