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Understanding Scope 3 Transport Emissions in the UK
- The UK has pledged to achieve net-zero carbon emissions by 2050.
- In 2023, transport accounted for 29% of the country’s total greenhouse gas emissions, making it the largest-emitting sector of the UK economy.
- Cars and taxis were responsible for more than half (54%) of all transport-related emissions.
The transition to electric vehicles (EVs) presents one of the most practical and accessible decarbonisation opportunities for SMEs.
Unlike major building upgrades, fleet conversion can be implemented gradually. Vehicles can be replaced in phases, allowing businesses to manage cash flow while reducing emissions over time. However, the real challenge isn’t just the vehicles you own, it’s the wider Scope 3 transport footprint that sits across your supply chain, staff and operations.
The UK’s Zero Emission Vehicle (ZEV) Mandate
- 80% of new cars and 70% of new vans sold in Great Britain must be zero emission by 2030
- 100% of new cars and vans by 2035
Van-specific Targets
For vans specifically:
- 24% of new van sales must be zero emission in 2026
- 46% in 2028
- 70% by 2030
Businesses that delay planning face rising costs and reduced flexibility, particularly around depot charging, grid upgrades and vehicle procurement. Early movers will secure better infrastructure access, more favourable pricing and fewer operational challenges.
Why this is a Supply Chain issue for SMEs
Public sector procurement will feel the impact first, particularly under Procurement Policy Note (PPN). Private sector expectations are also shifting. Tender processes increasingly request transport emissions data, and larger organisations are asking suppliers for primary Scope 3 data, particularly covering business travel, logistics and fleet activity, as they work to meet their own net zero and reporting commitments.
What counts as Scope 3 Transport Emissions?
Scope 3 emissions extend beyond owned vehicles and include:
- Business travel
- Fleet mileage
- Grey fleet mileage (all business miles driven in a personal vehicle)
- Employee commuting
- Courier and logistics partners
If it moves, it counts.
Transport Emissions in SECR and ESOS
Transport emissions are frequently overlooked in SECR and ESOS submissions, despite being a required reporting category for qualifying organisations. ESOS should absolutely capture transport emissions. Even if your fleet is fully electric, transport still involves energy use and contributes to your overall emissions profile. Historically, transport data has often been added late in ESOS assessments, as organisations didn’t realise that transport forms part of their total energy consumption and emissions picture.
The Business Case for EVs
EVs Are Now Cheaper to Run
Total cost of ownership must be considered, as charging costs vary significantly:
- Overnight home charging can be around 10p per kWh
- Public rapid charging can be 55–80p per kWh
Even accounting for charging variation, EVs increasingly outperform petrol and diesel on total cost of ownership thanks to lower cost per mile, reduced servicing and maintenance, and less exposure to fuel price volatility.
Infrastructure planning is also critical when integrating EVs. SMEs need to assess whether vehicles will be primarily home-charged or reliant on public networks. This may involve reviewing grid capacity at premises and considering smart charging systems to manage load.
Why Measurement Must Come First
If these emissions are not being measured, they cannot be managed or reduced. Organisations that invest now in building robust data systems and implementing a structured Scope 3 transport strategy will be significantly better prepared as reporting requirements tighten. Accurate capture of transport emissions is fundamental to compliance.