A sustainable approach

Investing in a sustainable future

Sustainability is not a choice or something that is ‘nice to have’ – it is crucial to securing the future of our company and for creating shared value for our consumers, our shareholders and our stakeholders.

It is not a recent priority either – as a major international business in a controversial sector, we have long been aware of our responsibilities and our ability to address issues on a global scale.

Nicandro Durante
I’m incredibly proud of how we’ve continually developed our strategy to meet evolving stakeholder expectations and the needs of the business.
Nicandro Durante, Chief Executive

In our long history of focusing on sustainability and corporate responsibility, we have made significant progress – our strong market performance is delivering value for our shareholders, while we have also embedded more effective sustainability practices into our day-to-day business. These have included strengthening our approach to human rights, advancing sustainable agricultural practices among the tobacco farmers we work with, and achieving significant reductions in CO2e emissions

We still have a long way to go, and as much as our business has changed so has the world around us – from evolving consumer demands and opportunities in potentially reduced-risk products, to increasing expectations of the role of business in society.

Our sustainability agenda was developed through a detailed materiality process, which we refreshed in 2017. It has identified three key areas that have the greatest significance to our business and our stakeholders: Harm Reduction; Sustainable Agriculture and Farmer Livelihoods; and Corporate Behaviour. These are underpinned by our ongoing focus to reduce the environmental impact of our operations, and to build a diverse and engaging culture for our people.

Read more about our sustainability agenda, goals and commitments, key activities and performance in our latest Sustainability  Report.

External recognition

We are proud that our focus on sustainability has been recognised by our inclusion in the Dow Jones Sustainability Indices (DJSI) for 17 consecutive years.

In the 2018 DJSI review, we were proud to be overall industry leader and the only company in our industry to feature in the DJSI’s prestigious World Index. Our overall score was 26 percentage points higher than the industry average.

We achieved industry leadership in 11 of the 22 sections, including Codes of Business Conduct; Supply Chain Management; Environmental Reporting; Human Rights; Raw Material Sourcing; and Talent Attraction and Retention.

We believe these scores reflect the quality of management across our business and our comprehensive global focus on sustainability issues.

Our focus on sustainability and reporting has gained other high-profile external recognition. For example, we were awarded a Gold Class distinction for sustainability performance in the sustainability investment specialist RobecoSAM's 2018 Sustainability Yearbook.

In addition, for the second consecutive year, the Thomson Reuters Diversity & Inclusion Index 2017 ranked BAT as one of the most diverse and inclusive companies to work for and we were also one of only 13 companies to earn the prestigious Global Top Employer accreditation in February 2018.