Our non-hazardous tonnage has decreased slightly in 2023 however the diversion from landfill rate has also decreased from 67% to 65% resulting in a 10% increase in associated tCO₂e. Waste generation is not always in our control where we manage on customer sites therefore we will consider separate reporting in future. Our IT waste tonnage has increased significantly however fluctuations are expected with the infrequent and cyclical nature of IT equipment lifecycle changes. Corresponding carbon emissions have reduced by 32% due to a larger proportion of equipment being refurbished for reuse rather than recycled. Our water consumption is up 11% in 2023 vs 2022 and again is not always in our control on customer sites and can depend on the number of people in our care on sites we manage therefore we will consider separate reporting in future.

We deliver a vast array of services across a range of sectors and markets. At the heart of many of these services is the requirement to maintain and operate customer assets efficiently to gain best value, support asset replacement and sustainable disposal options which contribute to a circular economy. Our approach to procurement is therefore vital.

Our Sustainable Procurement Charter guides our approach, including our commitment to resource efficiency. In 2023, we have engaged further with key suppliers via the EcoVadis sustainability rating system, supporting more understanding of how their products and services contribute to resource efficiency and the circular economy.

We continue to work with suppliers to:

• eliminate single use plastics from our operations;

• maximise our procurement of secondary goods and materials;

• use water more efficiently; and

• procure goods and services that comply with the most appropriate ethical and environmental standards.

Our procurement teams are building circular economy principles into our supply chain and broadening the social impact of our partnerships. Weaving our sustainability commitments into colleague apparel is one of their priorities. We have partnered with The Giving Movement, who donate proceeds to charitable causes, to provide eco-friendly workwear for colleagues in the Middle East. In the UK, we have refitted our 300 Defence Academy colleagues with uniforms made from recycled plastic bottles. In Australia, we have increased our support to First Nations training and employment programmes through Wirrigan Business Services by partnering with them for office supplies and waste management as well as apparel. Find out more

A vegetable garden display at Melbourne Town Hall, created by our Melbourne Parks & Gardens team, was given a second lease of life in 2023 with the donation of 2,000 viable plants to local community gardens for future cultivation. Find out more

Clarence Correctional Centre (CLA) is the largest and arguably the most technologically advanced correctional facility in Australia. An impressive range of forward-thinking solutions have been carefully woven into its operation. For example, all artificial light is constantly modulated to account for the presence of natural daylight to reduce the facility’s electricity consumption by over 1000MWh each year. In partnership with the Asset Institute and Queensland University of Technology, the FM team at CLA have implemented analytics for the detection of operating anomalies and are now working to minimize asset maintenance by applying critical degradation and failure models using this data. An embedded ‘zero waste to landfill’ commitment governs how the facility manages its waste. For example, the wastewater treatment plant has microbial processes that produce an organic waste stream that would otherwise get sent to landfill but is now used by local sugar farmers for improved regenerative agriculture.

Our commitment to driving resource efficiency and reducing waste throughout our operations and supply chains includes channelling resources we can no longer use into appropriate recycling or upcycling streams. 2023 examples include teams of US colleagues who donated office supplies, equipment and furniture to local schools from office space downsizing, including c.200 monitors. At the same time, whenever our teams recognise appropriate opportunities to share resources for charitable causes, we support them in doing so, such as our US teams who donated c.160,000 particulate masks to the Hawaiian Way Fund in support of the Maui wildfire recovery efforts.

We continue to mature our Serco Goes Green 'Green Ambassador' network, which supports behavioural and cultural change. Resource efficiency examples include:

• World Environment Day initiatives which in 2023 focused on the themes of resource efficiency and beating plastic pollution.

• Partnering with Ecyclex, a recycling solutions company in the Middle East, on an initiative to increase recycling practices at Serco colleague homes.