Net zero: a catalyst for economic growth and innovation

Right now, the conversation around net zero debate has never felt more urgent - or more debated. With the cost-of-living crisis and economic uncertainty, it’s easy to see why the UK’s commitment on decarbonisation is being tested. But beyond the political challenges, the facts remain: our built environment accounts for a quarter of the UK’s greenhouse gas emissions and every tonne of CO₂ we emit drives climate change.

The Government’s Climate Change Committee placed net zero buildings at top of the agenda in its 2024 progress report, pointing to the scale of opportunity. Across the nation – not just in major cities – the net zero economy is proving to be a powerhouse of job creation and economic expansion.

According to the CBI, the sector’s total economic value has grown by 10.1% since 2023, with net zero businesses contributing £28.8bn into the economy. Following the Office for Budget Responsibility’s downgrading of the UK’s growth forecast – from 2% to 1% in 2025 – the net zero industry will have a key role in kickstarting a flatlining UK plc.

For the construction industry, with over 300 local authorities declaring a climate emergency and two-thirds of councils targeting carbon neutrality by 2030, net zero isn’t just about cutting emissions. It’s also an opportunity to drive innovation, create jobs and improve the resilience of the buildings we all rely on – a key consideration as weather patterns change and extreme weather events become more common.

A catalyst for innovation

A recent shift brought about by the Procurement Act 2023 could be a game-changer - it redefines what value means for our customers. It’s not just about cost. Evaluation based on national priorities and long-term benefits means there is a greater emphasis on social value, environmental impact and economic growth in public sector tenders.

The decisions we make today will significantly impact our ability to achieve net zero carbon, in line with UK Government targets, by 2050. At Willmott Dixon, we know that achieving net zero isn’t a hurdle – it presents an opportunity to build smarter, better-performing buildings. Since the launch of our science based Now or Never sustainability strategy in 2020, we’ve seen a 450% increase in net zero and Passivhaus projects. At the same time as helping our customers to create future-ready buildings, we’ve worked to reduce the footprint of our own operations, cutting carbon emissions by 57% since our 2018 baseline.

One of the biggest myths about net zero is that it’s expensive. High-performance standards, like Passivhaus, do require upfront investment, but they also provide exceptional energy efficiency, lower operational running costs, and a healthier environment for occupants. For example, the Eclipse Leisure Centre in Spelthorne (pic above), which is the world's largest wet/dry leisure centre to achieve Passivhaus performance, designed to deliver cost and energy savings of more than 60%. Building with the future in mind today, also avoids additional retrofit costs later.

Crucial to the cost-efficient delivery of both Passivhaus and net zero carbon in operation projects is setting project aims as early as possible. Sustainability must be part of the design and delivery plan from the outset to meet the demanding performance and quality requirements that underpin successful low-carbon buildings. For Passivhaus, the demands are greater due to the rigorous certification project. And while many customers choose to embrace this approach, others take an incremental approach to reduce carbon. Currently, over half of our live projects include net zero carbon features like solar panels or super-insulated materials.

Balancing sustainability with affordability

Time and time again, we’ve seen that making the right choice for the future also makes financial sense. This is particularly true in the public sector, where we’re helping customers balance their net zero ambitions with lean budgets. Take Tarleton Academy (below) – the UK’s first net zero carbon academy – that includes enhanced insulation, increased airtightness and triple glazing to reduce energy consumption, plus 1,500 square metres of solar panels to generate its own renewable electricity. We worked closely with the Department for Education to build this flagship school with precise cost requirements and included Willmott Dixon’s Energy Synergy️® process to ensure optimal energy performance.

Used on 14 projects since 2020, Energy Synergy️® helps customers track and fine-tune building performance in real time, cutting cost and carbon from their buildings. This includes the Interdisciplinary Biomedical Research Building at the University of Warwick, an energy-intensive science project. After three years of monitoring, energy consumption has been reduced by 12%, saving 49,051kg CO2e per annum. Based on a standard tariff in 2025 that equates to nearly a £60k annual saving on energy bills.

We have an inhouse team of Passivhaus-certified designers, and building performance and digital specialists, who ensure we remain at the cutting edge of sustainable design and delivery. They uncover practical strategies for balancing capital and operational expenditure with Passivhaus accreditation and achieve sustainable outcomes while managing costs effectively. It’s about understanding how early engagement, procurement routes, design decisions, collaboration, material selection, and construction techniques can help strike the balance between long-term energy savings and upfront costs.

Leading change

We’re not just adapting to a transforming industry - we’re actively involved in shaping it. From playing a key role in the Future Homes Standard 2025 and the UK Net Zero Carbon Buildings Standard, we’re influencing the policies and regulations that will define the next decade for residential and non-domestic projects. As members of the UK Passivhaus Trust’s Education Steering Group, we’re also supporting the ambition to train half of the industry to deliver Passivhaus or equivalent buildings by 2030.

Meet Willmott Dixon at UKREiiF 2025

The global climate crisis demands bold action, and the public and private sectors have a pivotal role to play, in partnership with the UK construction industry. We’re here to help build a future that’s sustainable.

The shift to net zero is a huge opportunity, and a key focus for us at UKREiiF 2025.

If you’d like to discuss your net zero plans with our team, please visit us at the Willmott Dixon Pavilion. Let’s work together to create a built environment that meets the challenges of today, while shaping a future that’s about growth, resilience, and leaving a positive legacy.