How important is an ESG strategy in UK care homes?

Image: Jan Kopřiva for Unsplash

For our Care Market Review 2025 report, we interviewed a cross-section of local and regional providers throughout the UK to get their views on ESG within the sector. The results of the survey showed that only 33% of operators have a targeted strategy in place, while 72% of operators stated that ESG is a key priority over the next 12 months.

Going into more detail about their priorities in the year ahead…

One operator said, “We have engaged an environmental sustainability engineer to assist us in reducing our carbon footprint. We are already using 100% renewable electricity and are now prioritising reducing energy wastage, waste reduction/recycling and switching to local suppliers.”

Another is focusing on solar energy: “Integrating solar panels into our operations is a crucial component of our ESG strategy. By investing in renewable energy sources, we not only lower our carbon footprint but also contribute to sustainable energy practices that are essential for addressing climate change.”

This operator is concentrating on how they are heating their homes: “Efficient heating systems powered by renewable energy reinforce our dedication to sustainable practices. By enhancing our energy usage through innovative technologies, we can create a positive impact, boosting operational efficiency while fostering a healthier environment for the communities we serve.”

Our report also includes a Q&A with three care operators of different sizes – Jatin Wouhra from Rest Assured Homes, Robert Kilgour from Renaissance Care, and Oona Goldsworthy from Brunelcare – to get their views on key trends and challenges in the sector.

We asked Jatin, Robert and Oon, ‘Do you have an ESG strategy, and how has this developed over the past couple of years? How important is your ESG policy to your lender?’. This is what they said:

“We do not have an ESG policy enforced. However, we are striving to make both homes as energy-efficient as they can be so we can reduce our ever-growing energy bills. This saving can be used to improve all aspects of the home.”

“We are taking steps to strengthen our ESG strategy, focusing on operational efficiency, innovation, and long-term business resilience. This includes investing in sustainable technologies and infrastructure improvements, such as:

• Planning for solar panel installation at suitable properties
• Introducing radiant heater panels and negotiating more favourable energy contracts
• Implementing LED lighting throughout our homes
• Strengthening procurement practices to streamline purchasing and reduce waste

“Our ESG strategy also emphasises the well-being of our residents and staff. A key element has been the launch of our Inclusion Strategy, underpinned by new partnerships that support mental and physical health, and initiatives to reduce social isolation and loneliness. This includes offering more personalised, meaningful lifestyle and wellbeing programmes for those in our care. We have also enhanced our People Strategy through targeted investment in staff spaces, the expansion of our Employee Assistance Programme, and the introduction of flexible working models. These efforts are designed to promote a more personalised and supportive working environment.

“While ESG is increasingly important to lenders, it has become a particular focus for our REIT partners, many of whom operate under international ESG benchmarks that extend beyond UK and Scottish regulatory targets. Our commitment to transparency, adaptability, and progress ensures we remain aligned with evolving expectations, both domestically and globally.”

“ESG is core to our mission as a charity and Registered Social Landlord. Not only do we believe this to be important, but our regulators also expect it. We have invested several million in installing PV panels on all our care homes this year, and we are also retrofitting our sheltered housing where the EPC is < C at a cost of over £6 million and with some funding from DNEZ as part of the Warm Homes programme. We have just signed a 10-year loan with CAF Bank, who specialise in funding charities such as Brunelcare. ESG is critical for them, too, and they will be monitoring how we achieve our ESG objectives over the coming years.”

To read more about key trends in the UK care market, read our Care Market Review 2025 here.