A study has revealed that half of small and medium sized enterprises are unaware of how their business impacts on the environment, which has led to SMEs being hit by fines of around £2.4m for pollution and environmental damage in 2007.

The survey by www.NetRegs.gov.uk , an environmental legislation guidance website set up by the UK’s environmental regulators, including Scottish Environment Protection Agency, has found that the majority of smaller businesses look to their local authority for advice – putting the onus on local business influencers to know where to direct them for this kind of guidance.

However, the survey also has found that UK SMEs are making estimated savings of up to £58m a year by using the NetRegs website to improve their environmental compliance and practices. 

NetRegs commissioned environmental consultants EFTEC to assess how much SMEs are saving through improving their awareness of environmental legislation. The results show that each SME that receives NetRegs’ free regular email alerts that keeps them up-to-date with regulations and good practice is already saving on average £2,615 per year by reducing time spent reviewing legislation and benefiting from advice on compliance. For those SMEs that log on to the website every week, this rises to £5,296 a year.

Claudette Hudes, Scottish programme manager for NetRegs, said that with greater encouragement to use NetRegs’ guidance, this figure could multiply.

Hudes said: “We know small and medium-sized businesses struggle to keep on top of environmental regulations – but with free, easy-to-access guidance, compliance can make a business more economical.  We’re appealing to national and regional government and public sector influencers to remind SMEs of the effect that better environmental compliance can have on their business, and to urge them to sign up to www.NetRegs.gov.uk to keep on top of the regulations. Together, we can improve Scotland’s environmental credentials and give small businesses a boost.

“Fewer than half of UK SMEs have introduced practical measures to reduce their environmental impact, such as recycling or waste minimisation. These businesses unknowingly violate environmental laws – but when they take up the free guidance from www.NetRegs.gov.uk they can avoid fines and save money.“

NetRegs was launched in 2004 to provide SMEs in the UK with free guidance on complying with environmental legislation without the need to register. The website currently offers specific guidelines for over 110 business types in the UK. Businesses can receive free email alerts from NetRegs to keep up-to-date on forthcoming legislation or any changes to current environmental regulations.

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