Materiality assessment
Our material topics map to our existing ESG Strategic Framework. Our future reporting and strategic focus will reflect our most material topics.
Delivering growth and value
We are committed to delivering growth and long-term value for our stakeholders whilst also maintaining high standards of ethics, honesty and integrity, managing our impact on the environment, developing our colleagues, and enhancing the communities across our supply chain.
We apply a holistic approach in our assessment of risk and in the development of our ESG strategy, adapting our approach in response to the evolving regulatory landscape.
Stakeholder engagement
In FY23, we conducted our first double materiality assessment to determine the most material environmental, social, governance and human rights topics for the Group. This is a key foundational step for reporting under both GRI Standards and the EU’s Corporate Sustainability Reporting Directive (CSRD). Undertaking a materiality assessment helps us to identify and gain insight into the issues that matter the most to our key stakeholder groups. It enables us to assess which issues will have the greatest impact on our business and also supports us in identifying areas of emerging importance.
| Strong society | Value for our customers and communities |
| Greener environment; Better products | Waste and packaging; Climate and emissions |
| Valued supply chain | Responsible supply chain |
| Exceptional employer | Employment |
| Underpinned by our commitment to strong coporate governance business ethics | Business ethics and human rights; Corporate governance; Data protection and privacy |
| Engagement in FY23 | Impact on our strategy and decision making | |
|---|---|---|
| Customers | Engaged as part of the materiality assessment. | Priority topics are mapped to our ESG strategy and will drive future strategic decisions and value. |
| Colleagues | Engaged as part of the materiality assessment. | Priority topics are mapped to our ESG strategy and will drive future strategic decisions and value. |
| Suppliers | Issued Environmental Compliance Guidelines and held a Supplier Info Day for 25 key suppliers. | Many of our suppliers have acknowledged the guidelines, which is a key step in further developing a responsible and valued supply chain. |
| Communities | The Poundland Foundation published its first annual report. Pepco Poland has joined the working group of the Polish Government’s Responsible Business Forum to develop a ‘Children’s Charter’. | These actions are an important part of showing our value to our customers and communities and of being an exceptional employer. We will continue to consolidate and highlight these actions. |
| Investors | Engaged as part of the materiality assessment. | Priority topics are mapped to our ESG strategy and will drive future strategic decisions and value. |
Governance
The Group CFO is responsible for setting the Group’s ESG Strategic Framework and has overall responsibility for execution. The Group CFO is supported by senior management teams in the Group’s operating companies, which are responsible for day-to-day operational decision making with regards to ESG strategy execution, as well as the Group’s Head of ESG.
Demonstrating our commitment to driving development of our ESG approach, in FY23 we have established an ESG Executive Committee; the purpose of which is to determine, align and review progress and next steps for ESG across Pepco Group and its companies and functions. Updates on ESG progress are made to the Audit Committee of the Group Board each quarter.
Each of the Group’s operating companies also has ESG management and decision-making structures, including dedicated sustainability personnel.