The Sillion Briefing 03.10.2025
A fortnightly digest for corporate sustainability & communications leaders
In this edition...
Kemi Badenoch vows to scrap Climate Change Act
China makes first pledge on absolute cut to carbon
European Commission seeks second delay to Deforestation Regulation
California posts preliminary list of companies in scope of climate disclosures
Currys disbands Board ESG committee
Kemi Badenoch vows to scrap the Climate Change Act
UK Conservative leader Kemi Badenoch pledged to repeal the 2008 Climate Change Act if elected, drawing sharp criticism from senior Tories including Theresa May, as well as business and investor groups. Repeal would remove statutory carbon budgets and the Climate Change Committee’s legal role. Commentators noted the pledge sits alongside Badenoch’s earlier claim that net zero by 2050 is impossible, a stance widely read as an effort to win back voters from Reform UK on the Conservatives’ right flank.
Source: The Guardian
Why this matters
Repealing the Act would remove legally binding carbon budgets and weaken the Climate Change Committee, injecting policy uncertainty into planning for clean energy, fleets, buildings and supply chains. It also risks friction with EU CBAM measures and investor expectations grounded in the UK’s net zero trajectory. More broadly, it again signals the possibility of materially weaker UK policy support for climate in general.
China sets first absolute emissions cut target (7–10% by 2035)
In a UN address, President Xi announced China will cut economy-wide greenhouse gas emissions by 7–10% below peak by 2035, calling it a step toward its 2060 carbon neutrality goal. The announcement is China’s first absolute reduction target. EU officials criticised the ambition as insufficient.
Source: BBC
Why this matters
Even a modest absolute target is a significant policy signal from the world’s largest emitter, with implications for commodity demand, clean tech competition, and global supply chain exposure to Chinese sectoral policies. Geopolitically, the pledge plays into China’s positioning for climate leadership - especially as parts of the US federal architecture step back.
Brussels seeks further Deforestation Regulation delay - to December 2026
The European Commission said it will push for another one year postponement of the EU Deforestation Regulation (EUDR), citing capacity and readiness issues with the central IT system. The first delay shifted the start to 30 December 2025 - the new move would push that to late 2026, pending Council and Parliament approval. NGOs and some MEPs accused the Commission of bowing to industry pressure; several trade partners had also lobbied for more time.
Source: Reuters
Why this matters
Even if deadlines slip, large EU buyers will likely keep asking suppliers for traceability data, so pausing preparations contains future risks.
California climate disclosure moves forward: CARB posts preliminary covered company roster
California’s Air Resources Board (CARB) published a preliminary Excel roster of 4,160 entities that may be in scope of SB 253 (California’s GHG emissions disclosure obligations, including Scope 3) and SB 261 (covering climate risk). SB 253 applies to US-formed entities with >$500m revenue “doing business” in California, while SB 261 applies to US-formed entities with >$1bn revenue.
Source: CARB
Why this matters
UK-headquartered groups with US-incorporated subsidiaries that meet the thresholds and do business in California should assume those US entities are reporting entities under SB 253/SB 261. CARB still needs to finalise the mechanics and eligibility, including whether non-US parent companies will be permitted a parent-level consolidation option.
Currys disbands its board ESG committee - moves oversight into existing teams
Currys announced the closure of its board-level ESG Committee (formed in 2023), moving day to day oversight to the Group Sustainability Leadership Team and redistributing governance responsibilities across the Board and Audit Committee. The move was broadly covered in the media with debate around whether such moves signal ESG “roll back” across UK PLCs.
Why this matters
This could be interpreted as a reasonable maturation - embedding ESG oversight into core committees is consistent with mainstream governance. Whether it’s a downgrade or a sensible integration depends on resourcing, Board time, and clarity of Audit/Board remits.
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