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Net-zero buildings, construction and the built environment
New standards for net zero verification, mandatory biodiversity net gain, and incoming whole-life carbon reporting requirements are reshaping how developers, contractors, asset managers, and investors approach sustainability, and what they need to prove.
Earthly provides verified carbon credits, voluntary biodiversity credits, and offsite BNG units - giving businesses in the built environment a measurable, reportable nature investment strategy.
40%
of global carbon emissions are attributable to the built environment.
25%
of UK emissions come from buildings and infrastructure.
20%
of UK built environment emissions come from embodied carbon alone.
The built environment has different sustainability pressures
What matters most to your part of the building and construction sector?
Developers
Net zero embodied carbon, mandatory BNG compliance, and planning obligations under the UKNZCBS and Environment Act 2021.
Contractors
Scope 3 emissions, supply chain carbon reporting, and whole-life carbon assessment across project delivery.
Retrofit and asset managers
Decarbonising existing buildings, MEES compliance, EPC reform, and operational carbon reduction at scale.
Real estate developers
Green premiums, TCFD and TNFD disclosure, asset value protection, and green finance eligibility.
Infrastructure
BNG for nationally significant infrastructure projects from May 2026, whole-life carbon reporting, and Part Z.
Businesses are going beyond carbon to restore ecosystems
What is net zero in the built environment?
Net zero in the built environment means reducing carbon emissions from buildings and infrastructure to as close to zero as possible, then addressing any residual emissions that cannot be eliminated through verified carbon offsetting or nature-based solutions.
It is not a single action or a one-off certification. It is an ongoing commitment in the full lifecycle of a building or asset from the materials specified at design stage, through construction and occupation, to eventual retrofit or demolition.
The UK Net Zero Carbon Buildings Standard, launched in March 2026, provides the first unified, science-based methodology for defining and verifying what net zero actually means for buildings in the UK. It brings together operational and embodied carbon under one framework, requires real in-use performance data rather than design-stage projections, and sets science-based limits that tighten year on year.
Operational carbon
Operational carbon are the emissions generated by a building's energy use once it is occupied - heating, cooling, lighting, and ventilation.Reducing operational carbon starts with energy-efficient design and low-carbon heating systems, with remaining emissions addressed through verified carbon offsetting. For existing buildings, reducing operational carbon often means retrofitting heating systems, improving insulation, and upgrading to renewable energy sources.
Embodied carbon
Embodied carbon are the emissions tied to a building's materials, construction, and full lifecycle - manufacturing, transporting materials to demolition. Embodied carbon is largely locked in at the design stage, making early-stage sustainability decision-making important. Although lower-carbon materials, circular design, and reuse strategies can help reduce impact, many emissions are difficult to avoid entirely.
10%
biodiversity net gain is mandatory for most developments under the Environment Act 2021.
12 months
of in-use performance data is required to verify a building’s net zero status under UK Net Zero Carbon Buildings Standard.
Sustainable design, building and construction standards
Current regulations and standards in the built environment
For much of the past decade, net zero commitments in the built environment were largely voluntary, self-certified, and inconsistently defined. That is no longer the case: carbon and biodiversity accountability in construction is becoming mandatory, measurable, and independently verified.
1. UK Net Zero Carbon Buildings Standard (UKNZCBS)
The UKNZCBS establishes the first unified, science-based methodology for defining and verifying net zero buildings in the UK. It sets mandatory requirements for embodied carbon, operational energy, and fossil-fuel-free design, and crucially, requires 12 months of real, in-use metered data to verify performance. Design-stage projections no longer suffice.
2. Biodiversity net gain (Environment Act 2021)
Mandatory biodiversity net gain requires most new developments to deliver a measurable 10% increase in biodiversity. From May 2026, this requirement extends to nationally significant infrastructure projects. Developers must demonstrate net gain through on-site habitat creation, off-site biodiversity units, or statutory credits, with gains secured for a minimum of 30 years.
3. Part Z (proposed)
The proposed Part Z amendment to Building Regulations would require all large projects to report whole-life carbon from 2025/26, with embodied carbon limits expected from 2027-28. Although not yet law, it is already shaping procurement decisions, planning submissions, and lender expectations on larger commercial and infrastructure projects.
4. Future Homes Standard
The Future Homes Standard requires new homes built from 2025 to produce 75-80% less carbon than under previous regulations, with heat pumps as the primary heating technology.
5. TCFD and TNFD
For developers and asset owners with institutional investors or listed parent companies, mandatory The Task Force on Climate-related Financial Disclosures (TCFD) disclosures require credible, evidenced climate strategies. The Taskforce on Nature-related Financial Disclosures has also developed a set of disclosure recommendations for businesses to assess, report and act on their nature-related dependencies, impacts, risks and opportunities.
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What's next for businesses in building and construction?
How to address emissions in the built environment
Reduce
The built environment accounts for nearly 40% of global carbon emissions, making reduction their first and most critical step towards sustainability.
Balance
To accelerate investment into nature, businesses need to go beyond net zero and show that they are giving back to our planet more than they take.
Share
Make climate claims with confidence and tell your sustainability story. Stay accurate, transparent and inspiring without greenwashing.
The built environment has a critical role in helping us all reach net zero. Its impact is felt across every aspect of the personal and professional lives of everyone on this planet. Responsible developers are embracing their role and making sustainability a priority.
Catch up on our webinar: Net Zero in the Built Environment, where we discussed the key decisions and the value in achieving net zero in the built environment before 2030. Our expert panel includes Lucy Winterburn from Savills Investment Management, Richard Ford from Vision Zero, Jonathan Munkley from WSP and ZERO Construct, and Earthly's own CCO Lorenzo Curci.
How Earthly supports businesses in the building and construction industry
Earthly works with developers, contractors, and sustainability leads across the built environment to build nature investment strategies that hold up to the scrutiny the sector now faces.
Carbon credits for residual emissions
Where emissions cannot be eliminated through design or efficiency measures, Earthly provides verified carbon credits from high-quality nature-based projects worldwide - ensuring the credits businesses invest in are credible, traceable, and defensible.
Voluntary biodiversity credits
For businesses looking to go beyond compliance and demonstrate a positive contribution to nature, Earthly's voluntary biodiversity credits enable investment in habitat restoration and protection projects that deliver measurable biodiversity outcomes.
Offsite Biodiversity Net Gain units
For developers unable to achieve the mandatory 10% biodiversity net gain on-site, Earthly provides access to offsite BNG units - a compliant, practical route to meeting obligations under the Environment Act 2021, secured for the required 30-year minimum.
Carbon portfolio tool
Enter your total embodied carbon figure, net zero goal, project end date, and certification preference - and the tool returns three fully costed portfolio options built on live project data. It also models the financial case for purchasing early, showing exactly how much you save by locking in part of your portfolio now versus at completion.
Impact Dashboard
Earthly's Impact Dashboard gives built environment businesses a clear, ongoing view of their nature investment: carbon sequestered, biodiversity protected and the communities supported. An evidence base that fits sustainability reports, green finance applications, and planning submissions.
Report-ready metrics
Earthly provides the data and documentation organisations in the built environment need to meet external reporting requirements stakeholders, lenders, and planners expect - TCFD climate disclosures, TNFD nature-related disclosures, BREEAM submissions, and planning authority requirements.
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The road to net zero in the built envrironment
Case study: delivering net zero embodied carbon at Ferne Park
UK, developer Kingsbridge set out to create one of the most sustainable industrial developments in the country - targeting net zero embodied carbon alongside BREEAM ‘Outstanding’ and EPC A+ ratings. But, like most construction projects, not all emissions could be eliminated.
To address this, Kingsbridge partnered with Earthly to measure, reduce, and balance the project’s embodied carbon footprint through high-integrity nature-based solutions.
Through Earthly, Kingsbridge's Ferne Park has balanced 4,401 tCO₂e of embodied carbon through verified nature-based projects, achieving net zero embodied carbon status alongside BREEAM Outstanding, EPC A+, and 25% biodiversity net gain - exceeding the statutory BNG requirement by 15 percentage points.
Even with ambitious design and material choices, residual emissions remained. By identifying and addressing these through credible nature-based solutions, Ferne Park demonstrates how net zero buildings can be achieved.
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Tom Newman
Development Manager
Kingsbridge Estates
"By working with Earthly, we were able to measure, reduce, and balance embodied carbon to the highest UKGBC standard, giving us and our stakeholders confidence that our climate actions are transparent, credible, and impactful."
Through Earthly, Kingsbridge is supporting the following projects:
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Regenerative Farming - Indo-Gangetic Plains, India
Through this initiative, Kingsbridge is helping restore farmland across 41,000 hectares, avoiding crop-residue burning, improving water efficiency by 22%, and boosting incomes for thousands of smallholder farmers.
Discover project)
Peatland Protection - Rimba Raya, Indonesian Borneo
Through this project, Kingsbridge is protecting over 47,000 hectares of tropical peatland forest, avoiding more than 100 million tonnes of CO₂ emissions, and supporting local communities with clean energy and healthcare.
Discover project