Reducing Environmental Impact in Hospitality: How IG Group Contributes

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The hospitality industry is essential to the UK economy, contributing over £59 billion annually and employing more than 2.5 million people. But while hotels, restaurants, and event venues offer comfort and memorable experiences, they also consume large amounts of energy, water, and resources. As sustainability becomes a global priority, it’s crucial to examine the environmental footprint of hospitality and how companies like IG Group are taking action to reduce it.

The Environmental Impact of the Hospitality Industry

From excessive waste to high carbon emissions, the environmental cost of the hospitality sector is significant. The hospitality and food service industry wastes over one million tonnes of food each year, costing the sector £3.2 billion. Much of this food is edible, leading to unnecessary waste and emissions.

Additionally, the hospitality sector as a whole emits an estimated 8 million tonnes of CO2 annually in the UK, with energy used for heating, cooling, and lighting accounting for a large share. Water usage is also a concern. A typical hotel room can use up to 1,500 litres of water per day, from showers, toilets, laundry, and cleaning.

Plastic pollution is another pressing issue. Single-use plastics in toiletries, packaging, and food containers are common across the industry, despite growing awareness of their long-term harm to oceans and wildlife.

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Key Environmental Challenges in Hospitality

Here are some of the major environmental issues hospitality businesses face:

• Energy consumption: Hotels and venues often operate 24/7, consuming energy around the clock.
• Waste management: Food, packaging, and single-use items are discarded daily.
• Water usage: High water usage in cleaning, laundry, and guest facilities.
• Carbon footprint: Emissions from energy, food supply chains, and transportation.

The good news is that many businesses are now embracing sustainability as a core value. IG Group is one such company leading the way.

How IG Group Is Reducing Its Environmental Impact

The hospitality industry significantly impacts the environment, contributing to high energy consumption, substantial waste generation, and considerable carbon emissions. In the UK, the sector produces an estimated 1.1 million tonnes of waste annually.

We are actively addressing these environmental challenges through a comprehensive sustainability strategy aimed at achieving Net Zero emissions by 2030. Our initiatives encompass various aspects of operations, including transportation, product design, waste management, and energy use.

Key Initiatives by IG Group:

Transportation and Logistics:

• Transitioning to hybrid sales vehicles and electric delivery vans to reduce Scope 1 emissions.
• Implementing OptioRoute software for efficient delivery routing, minimising fuel consumption and CO₂ emissions.
• In 2024, these measures contributed to a reduction of 168,162 kg of CO₂ emissions.

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Product Sustainability:

• Offering the “Green Planet” range, featuring eco-friendly products made from biodegradable, compostable, and recyclable materials.
• Collaborating with suppliers to develop products that can be recycled or reused at the end of their lifecycle.

Waste Management and Circular Economy:

• Promoting a closed-loop lifecycle for products through initiatives like the Tork PaperCircle recycling scheme.
• Implementing a Closed-Loop Crate System for pallet reuse, reducing packaging waste.
• In 2024, we recycled 72 tons of cardboard, 18.3 tons of plastic, and 7.2 tons of general waste.

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Energy Efficiency:

• Exploring renewable energy options, including the installation of solar panels at key sites.
• Seeking REGO certification for renewable electricity sourcing to ensure energy consumption is from renewable sources.

Certifications and Standards:

• Achieved ISO 14001 certification for environmental management systems.
• Utilising FSC and PEFC certified wood fibres in products, ensuring responsible sourcing.
• Working towards Planet Mark Certification to validate and enhance sustainability efforts.

Through these comprehensive measures, we demonstrate a strong commitment to reducing the environmental impact of the hospitality industry. Our approach serves as a model for integrating sustainability into business operations, aligning with broader environmental goals and customer expectations.

Why It Matters

Hospitality businesses that focus on sustainability not only protect the planet but also meet growing customer demand. Over 34% of consumers said they actively choose brands with strong environmental values. Making eco-friendly choices isn’t just ethical, it’s good business.

By partnering with a sustainable provider like IG Group, hotels and restaurants can meet their ESG (Environmental, Social and Governance) goals, improve their reputation, and reduce costs over time.

Explore our Environmental Impact here.