‘Communicating ESG is more important than ever in these challenging times’

Sustainability and social commitments are contested topics but the new rules we are operating under offer some great opportunities.

Cut-out image of Laura Leer of Ambitious in black and white on a blue background.

The Environmental, Social and Governance (ESG) communications space may currently feel uncertain: whether, and how, to communicate sustainability and social commitments is now a highly fraught question. Companies already some way along the road in their journey, especially those operating in multiple markets, now find themselves walking a tightrope – balancing the ongoing pressure to uphold their ESG commitments with growing resistance from political and business leaders who argue that the sustainability and diversity agenda has gone too far.

We’ve seen some live, high-stakes rollbacks of late. Durham County Council, under its new Reform Party leadership, became the first council to formally rescind its 2019 climate emergency declaration. Kent County Council also followed suit, removing its commitment to net-zero by 2050. Meanwhile, in the financial sector, major lenders including HSBC and Barclays have followed their US peers in dropping membership of the UN-backed Net Zero Banking Alliance (NZBA).

So, in the world of ESG communications, how do you ensure that you start on the right foot when, locally and internationally, the topic feels so heavily contested?

ESG communication is more vital than ever

The pressure to decarbonise has not disappeared, and the expectations of investors, employees and consumers remain high. Companies may be talking less about their ESG commitments but PwC’s 2025 State of Decarbonisation report found, encouragingly, that 84 per cent of companies are standing by their climate commitments. Recent research from B Lab also shows that B Corps consistently outperform non-B Corps in terms of growth.

The challenge, therefore, is not whether ESG should be part of corporate strategy but, rather, how businesses can navigate the issue with authenticity and confidence. The need for effective strategic internal and external communication has become even more critical.

This is a time to build trust

Scepticism of companies’ sustainability claims and accusations of vacuous messaging led to the UK’s Green Claims Code, designed to combat misleading messaging. There has always been a need to tread carefully. Accusations of greenwashing have never been more damaging, making it crucial for businesses to communicate ESG efforts with transparency and credibility.

Ultimately, organisations that are adaptable and pragmatic will see the new opportunities that this divergence of opinion and approaches brings, such as the ability to shape and amplify their own approach to ESG. Transparent, values-based communication can establish your company as an innovative leader and demonstrate its resilience despite current challenges.

Speak the language of your audience

At a time when ESG is under attack, the need to understand all your business’s audiences is more important than ever before. Testing language with different audience groups may be necessary. What works for one group may trigger resistance in another. For example, investor expectations may differ from those of employees, regulators or customers.

If your initiatives are in line with your purpose and values, there may be a need to educate stakeholders on the benefits of ESG initiatives, focusing on long-term value over short-term gains. Explain what’s in it for them. Why should they care and how can they benefit from the ESG agenda?

Effective internal communications can win loyalty

The current landscape is leading corporate communicators to re-evaluate the balance between internal and external communications surrounding ESG, recognising that previously, internal engagement may have suffered in the rush to vocally push ESG goals and commitments.

Now, the importance of creating opportunities to communicate through internal channels is being acknowledged. Cultivating a culture where ESG and DEI (Diversity, Equality & Inclusion) remain integrated into everyday work can be beneficial for engagement, demonstrating to employees that irrespective of external headwinds, the company remains true to its values. When employees feel aligned with a company’s mission, they are more likely to be loyal and motivated to contribute to its success.

Maximise every channel

When other companies are falling silent, be confident in your purpose and commitments. Industry publications are receptive to hearing from business leaders when they are prepared to take the ‘inside-out’ view and discuss, transparently, the challenges a business has faced and overcome.

The need to shape and control messaging more acutely may also lead to a stronger focus on owned channels. Social platforms can help employees to be advocates and build conversations online. Video content helps the C-suite to talk more openly about initiatives or the challenges of meeting particular goals, to retain trust and loyalty. This owned approach provides the opportunity to control the narrative, delve deeper into complexities and humanise your brand.

Meet the challenge and win trust

The next few years could be challenging. However, the imperatives behind corporate sustainability action, and effectively communicating it, have not gone anywhere. Comms professionals must take time to plan their corporate sustainability communications strategies to meet the moment. Navigating the challenges calls for openness and honesty in communication.

Laura Lear is managing director of B Corp-certified strategic communications agency AMBITIOUS.