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The Government is urging all UK small businesses to do what they can to reduce their carbon footprint – which will save billions in the process.

In fact over £6.4bn could be saved by businesses every year by taking simple money saving steps, according to the Department for Environment, Food & Rural Affairs.

Everyone wants to do what they can to save the environment, but let's face it, when it comes to running a small business during a recession it's about making money first and being an eco-warrior second. But then again getting into green habit can save money, which can help reduce outgoings, bills and debts.

Environment Secretary Hilary Benn says that 47% of all businesses could make savings of over £100,000 through low and no cost efficiency measures – such as turning off equipment when it's not being used – with 17% identifying over £1m of potential savings. Not only that but these measures could contribute as much as 10% to the UK's greenhouse gas emissions reduction targets for 2020 with little or no outlay from businesses.

He said: "Businesses are facing challenging times, today more so than ever, so finding ways to save money makes a lot of sense. Sustainability is the key not only to the environment but to business success. Now is the time to shape our businesses of the future."

So simple steps, such as turning off office equipment when it's not in use, can help businesses become financial fit and environmentally friendly. This also has a positive knock-on effect on reputation among consumers – a green business is a popular business these days and resource efficiency really isn't rocket science, so it would be crazy to not see where you can cut down and save.

Look at all your outgoings as part of your small business budget and you might find that a reduction in utilities, fuel and other energy sources might make your enterprise that bit more profitable.

SOURCE: Defra, 04/11/09

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