Environmental, Social and Governance
As Europe’s leading health, sports and leisure group, David Lloyd Clubs has been helping families lead healthy and active lives for more than 30 years. We recognise the importance of our role and responsibility in contributing to a healthy society and a sustainable environment.
We have taken some very significant steps in this area, that demonstrate our commitment to the Environmental Social and Governance (ESG) principles that increasingly underpin our entire business strategy.
Our key objective remains constant; that doing the right thing by our members, our team and the communities in which we operate is integral to our future success as a sustainable business.
We are equally committed to actions and initiatives that support our other principles. This includes doing our utmost towards combating climate change by reducing our clubs’ waste and using sustainable raw materials.
Our 2030 Carbon Net Zero Commitment
- Net Zero means that across all of our clubs, we add no more greenhouse gases than we remove
- We include emissions that we are directly responsible for, and we go further than this by also including emissions that occur throughout our supply chain activity
- To achieve this, we will ‘electrify’ as much as we possibly can through deployment of renewable technologies, and then any remaining emissions will be eliminated from our supply chain
Why should we do this now?
Our members and our colleagues tell us it is very important that we make a positive contribution in this area. There are a lot of activities and projects we are able to commence work on imminently, which will deliver carbon reductions. The 2030 timeframe also gives us time to work out answers to the more difficult challenges.
What does the science tell us?
A report released in August 2021 by the United Nations Intergovernmental Panel on Climate Change (IPCC) is described as a ’Code Red for humanity’. Urgent and unprecedented changes are required to limit global temperature increases to 1.5 °C. If we don’t slow global emissions, temperatures could rise to above 3°C by 2100, causing further irreversible damage to our ecosystems.
How are we going to achieve this?
No matter how big or small, every single one of us can make a positive impact, and this will be crucial if we are going to achieve our Net Zero commitment. The overarching initiatives are highlighted on the next slide and our future activity will be aligned to this.
How we will deliver our Net Zero commitment
- Further deployment of energy and water efficiency measures
- Club new build no/low carbon emissions
- Increase our onsite renewable energy generation
- Collaborate with our supply chain to reduce indirect emissions
- Improve communications and awareness to our colleagues and members
- Develop a green travel policy
- Improve our existing processes to reduce waste and improve recycling rates
As well as:
- Decarbonise our heat usage through the use of renewable technologies
- Continued increase in the use of onsite & low carbon generation
- Continue to procure renewable sourced energy across the UK & Europe
- Ongoing investment in energy & water reduction initiatives
- Embed sustainable design principles
- Invest in goods and services that consider whole life costs
- Develop sustainable procurement practises
- Reduce our total waste volumes & increase our recycling rates
- Encourage the use of sustainable modes of transport
- Improve communications and awareness to our colleagues & members
- Ensure our future targets are externally validated & accredited
- Promote & enhance biodiversity activity .
We have already made some very good progress!
Carbon Trust Standard – double accreditation
We achieved the Carbon Trust Standard certification for Carbon and Water. Awarded in January 2020, the Carbon Trust Standard recognises organisations that follow best practice in measuring, managing and reducing their environmental impact, achieving year-on-year reductions.
Impact – between 2017 and 2018 a 7.7% CO2e reduction was achieved
Utility capex project
Since 2018 we have invested £8m to deliver a number of utility related initiatives. These incorporated technologies such as LED upgrades to tennis court lighting, BMS systems, and improvements to other heating and cooling infrastructure.
Impact – reduction of 3,500 tonnes CO2e during 2019
Switch to renewable energy purchasing contracts
During 2019 and 2020 we committed to purchasing electricity from renewable sources for our UK group contract and a number of our European contracts. This proactive change has reduced our overall group carbon emissions.
Impact – reduction of over 10,000 tonnes of CO2e
Solar pV installation – Luton
We have committed to our first full solar pV installation in the UK. The project will generate 20% of the club electricity requirements, reduce future costs and carbon emissions, and deliver a positive brand message to our key stakeholders.
Impact – reduction of 50 tonnes of CO2e per annum
Water Self Supply Licence
We are the first company within the UK’s health and leisure sector to be granted a self-supply license from water industry regulator Ofwat. Our decision to self-supply is an integral part of our commitment to manage water resources efficiently and innovatively.
Impact – as a self-supply license holder, we will be able to accelerate our work on reducing our water consumption, as witnessed in other industries
How we report our emissions
Scope 1, 2 & 3 emissions
Our emissions are broken down into three categories to better understand the source;
Scope 1 – All Direct Emissions from the activities under our direct control, including fuel combustion on site such as gas boilers, oil consumption, fleet vehicles and air-conditioning leaks.
Scope 2 – Indirect Emissions from electricity purchased and used by us. Emissions are created during the production of the energy and eventually used by the organisation.
Scope 3 – All Other Indirect Emissions from activities occurring from sources that we do not own or control. These examples include business travel, procurement/supply chain emissions, waste and water.
In recent years we have made good progress on our emissions, however, to ensure we manage the full impact of our business activities, it is important to address emissions across our entire value chain, including scope 3.
80% of our emissions relate to our gas and electricity consumption, therefore a lot of our activity is directly within our control to reduce. This will be achieved via implementation of energy efficiency and renewable projects.
|Emission Scope & Source (2019)||Tonnes p/a|
|Scope 1||Gas, Transport, Refrigerants, Fuel (gas oil)||76,620|
|Scope 3||Purchased goods, Construction and refurbishment (investment), Water, Waste, Business travel, Employee travel / commuting||27,605|