Our environment

In addition to periodic calculations for our direct emissions, FY23 has seen us look at the wider Motorpoint value chain. In line with our TCFD commitments in FY22, we have calculated our applicable categories of Scope 3 emissions as well as our annual streamline energy and carbon reporting.

Streamlined Energy and Carbon Reporting (‘SECR')

This report has been compiled in line with the March 2019 BEIS ‘Environmental Reporting Guidelines: Including streamlined energy and carbon reporting guidance’, and the EMA methodology for SECR Reporting. All measured emissions from activities which the organisation has financial control over are included as required under The Companies (Directors’ Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018, unless otherwise stated in the exclusions statement.

The carbon figures have been calculated using the DESNZ 2023 carbon conversion factors for all fuels.

The table below sets out Motorpoint’s emissions in FY24 with prior year comparatives.

_{Note: Disclosures above are aligned with the SECR minimum mandatory requirements for quoted companies: global Scope 1 emissions from combustion of gas/fuel for transport purposes and global Scope 2 emissions from purchased energy. Additional disclosure of Scope 3 emissions from business travel or employee owned vehicles is included. Motorpoint Plc operates within the UK only.}

Our SECR reported emissions for Scope 1 and 2, Business Travel decreased 13.4% from 3,216 tCO2 e in FY23 to 2,786 tCO2 e in FY24. On an intensity basis, taking into account the portfolio size of the business, our emissions intensity decreased by 4.2% from FY23 to FY24.

Our relative footprint decrease for combustibles and purchased energy in Scope 1 and 2 reflects the success of our store business partnering, working with store managers to continue to find ways to reduce gas and electricity usage.         

Scope 3 Emissions

With GHG emissions being a priority focus under our ESG framework, a detailed understanding of our emissions is vital. Up until recently our focus has been on the emissions from our direct operations under Scope 1 and Scope 2 of the GHG protocol. While these emissions are more directly under our control, they offer only a snapshot of total emissions footprint as opposed to the emissions of our entire value chain under Scope 3.0

Scope 3 emissions have decreased year on year by 20.6% which is largely driven by the ‘use of sold products’ category, in line with vehicle mix and lower unit sales volumes. This category makes up 94.3% of Scope 3 emissions and other movements between Scope 3 categories were immaterial year on year.

There are a total of 15 categories defined by the GHG protocol for Scope 3. Of these 15 categories, we have established that nine additional areas not in our SECR reported emissions above that are relevant to Motorpoint’s value chain. Based on these categories, we have calculated our emissions using the most appropriate method with the data available to us, recognising that reliable data for Scope 3 is a challenge and we are on a journey to improving our understanding in this area. Particular focus was put towards the calculation of emissions from products sold, as this category makes up the majority of our entire footprint across Scope 1, 2 and 3. For categories less material to the business due to their reduced totals of tCO2 e, we have calculated them using a range of industry accepted data and estimates.

Our FY23 SECR has been restated following data enhancements resulting in a more accurate split of total emissions. This resulted in changes to Scope 1 and Scope 3 emissions in respect of transportation. In the prior year, Scope 1 emissions generated through use of transportation was stated at 595 tCO2 e which this year has been restated to 1,344 tCO2 e, with a reduced Scope 3 downstream transportation figure accordingly restated in our full Scope 3 emissions table (562 tC02e as restated against 1,181 tC02e disclosed in the FY23 Annual Report).