British American Tobacco - Sustainability governance

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Sustainability governance

Why it matters

Having appropriate governance in place to deliver on our sustainability commitments is more important than ever before. It is why we believe effective oversight and management of sustainability-related risks and opportunities are essential.

The evolution of and attention to sustainability and ESG matters have increased in recent years. Regulations and expectations have substantially broadened and deepened, not least because of the challenges associated with climate change and biodiversity loss which the world faces.

Our Approach

Our governance approach seeks to ensure Board-level oversight of our sustainability agenda across the Group. During 2022, the Board reviewed and approved new and updated Group environmental targets, and revised Group Health & Safety and Environment policies.

To further strengthen our focus on Sustainability and ESG matters, we appointed our first Chief Sustainability Officer (CSO). Sustainability has been central to our business and Ethos for decades. The creation of this new role reflects a step change in our approach to Sustainability, placing it as a strategic priority for the organisation.

Under the CSO's leadership, we are entering into a new phase, embedding sustainability firmly into the Group's strategy, as well as in everyday decision-making processes. The CSO and his team are dedicated to setting and driving the Sustainability and ESG agenda across the Group by working alongside other functions such as Operations, Marketing, R&D and Investor Relations.

Advocacy and actions

As a leading consumer goods business, we have the opportunity to build resilience into the system and advocate for a more sustainable world.

In 2022, we published our Low-Carbon Transition Plan and joined 300+ leading companies in signing Business for Nature’s call to protect and restore biodiversity.

We know advancing sustainability across our value chain is the right thing to do and makes sound business sense. That is why we have set targets and signed commitments alongside our peers to increase accountability to investors and consumers and empower local communities.

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