How to talk about sustainability in 2025

Conveying a company’s sustainability impacts, goals and actions has never been straightforward. In 2025, companies face a new set of challenges – and opportunities – that demand a refreshed narrative.

In 2024, 115 European investment funds removed ESG-related terms from their names, with 30%-50% of European ESG funds expected to change their names by mid-2025. From corporate identity to communicating on sustainability commitments, organizations worldwide are now reevaluating their approach.

This change is in response to a shifting political, social and regulatory landscape. In the US, companies are facing a growing backlash on ESG and DE&I. Meanwhile, in the UK and EU, they must contend with increasingly strict anti-greenwashing regulations.

To stay ahead, companies will need to showcase their progress on sustainability while meeting the growing demand for accountability and clarity.

New regulations add complexity

The years between 2020 and 2023 are often referred to as the “ESG Golden Age,” with companies embracing ambitious sustainability agendas and openly communicating them. But times have changed.

Recent regulatory frameworks, such as the EU’s Corporate Sustainability Reporting Directive (CSRD), and voluntary initiatives like the UN’s Taskforce on Nature-related Financial Disclosures (TNFD), are pushing for greater environmental accountability. The EU has also tightened rules to ban buzzwords like ‘green’ or ‘eco’, demanding that every claim and label be backed by measurable, verifiable evidence.

Yet regulations can feel like a moving target. The European Commission recently announced a simplification of CSRD, potentially throwing company reporting preparations up in the air. Later this month, the Commission is expected to propose an "Omnibus package" to simplify sustainability-related reporting obligations and align existing sustainability requirements. Meanwhile, in the UK, an updated timeline of the UK Sustainability Disclosure Standards – unveiled in May 2024 – will require companies to disclose climate impacts from 2026.

Adding complexity, anti-ESG campaigns, especially in the US, have polarized public opinion on ESG further. In Republican-led states, dozens of anti-ESG bills criticize ESG investments, arguing they result in lower financial returns.

With increasing skepticism from investors, regulators, and the public, it's no wonder many companies are left at a loss on whether, and how, to address the topic.

Despite the obstacles, 2025 presents an opportunity for companies to redefine their corporate sustainability narratives. Below are some measures that can help companies craft accurate sustainability messaging. 

1. Demonstrate accountability

Narratives in the earlier part of the decade tended to focus on aspirations, such as net zero commitments and the development of 2030 plans. To be credible, today’s narratives need to emphasize tangible progress. For that, you need to:
  • Openly collaborate with third-party auditors to validate claims and reinforce credibility, then communicate verified metrics on ESG efforts
  • Be transparent about setbacks or areas in need of improvement

By demonstrating transparency and accountability, businesses can meet the sceptics head on and position themselves as part of the solution.

2. Balance short-term and long-term goals

While communications should be centered around the progress made to date, companies must also convey their strategy for the future. For this, strategies should:

  • Showcase immediate ESG achievements to maintain momentum
  • Outline ambitious long-term goals with clear, near-future milestones to build credibility

The watchword is pragmatism: any long-term ambition should be backed up with proof of current action.

Climate change is a continuously evolving challenge. As such, companies must accurately articulate their enduring commitment to address it, despite short-term obstacles.

Chemical-manufacturer BASF highlights short-term achievements while aligning them with its long-term net-zero vision.

Chemical-manufacturer BASF highlights short-term achievements while aligning them with its long-term net-zero vision.

3. Turn employees into advocates

Improving a company’s sustainability performance starts with its employees. Every employee needs to understand what the company wants to achieve and how it plans to get there. They also need to understand what is expected of them.  Make employees key participants in your company’s journey by:

  • Implementing internal communication initiatives that encourage employees to contribute to sustainability efforts
  • Highlighting employee-driven sustainability initiatives in external communications
  • Fostering a culture of sustainability through corporate education and incentive programs

Your employees also make the best ambassadors for the company’s sustainability initiatives. By building a network of engaged employees who are willing to share stories externally, companies can increase the reach and credibility of their messaging.

4. Showcase a holistic approach

The different components that make up the E, S and G can’t exist in a silo. In other words, the company’s environmental efforts must align with social and governance objectives. Showcase this coexistence:

  • Highlight how your sustainable practices benefit communities or drive social equity
  • Link governance efforts – such as board diversity or the use of ethical suppliers – to broader ESG initiatives

By presenting a unified ESG strategy, businesses can showcase their commitment to creating long-term value for all stakeholders.

Consumer goods company Unilever demonstrates its holistic approach to ESG.

Consumer goods company Unilever demonstrates its holistic approach to ESG.

What’s next for sustainability communication?

In 2025, communicating on sustainability means more than just avoiding greenwashing or responding to external pressures. It is also an opportunity to redefine the company’s approach to ESG. It’s time to focus on combining transparency, accountability and authenticity to build trust.

Hollis & Bean can help companies rise to the challenge. We specialize in developing strategies and crafting sustainability narratives that are clear, compelling and credible. We will support you in every step: from avoiding communication pitfalls to demonstrating real impact and connecting with diverse audiences.

Reach out and let us help you communicate your sustainability efforts with precision and confidence.

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