Can a small business set a science-based target?

Yes. Until 31 January 2028 an eligible SME can use the SBTi's SME route, which skips the separate commitment stage and uses a simpler form. From 31 January 2027 SMEs can also submit under the new Corporate Net-Zero Standard V2.0, which replaces the SME route with company categories.

What target does the SME route require?

An absolute cut in Scope 1 and 2 emissions of at least 4.2% for each year between the base year and the target year, with a base year of 2015 or later. The SBTi recommends 2030 as the target year. A near-term Scope 3 target is not required on the SME route.

Is the SBTi the same as the SME Climate Hub?

No. The SME Climate Hub, with its UK partner the UK Business Climate Hub, offers a free public commitment to halve emissions by 2030, reach net zero by 2050 and report progress each year. It is not validated. The SBTi checks your inventory and targets and charges a fee.

Do I need a science-based target for PPN 006?

No. A Carbon Reduction Plan needs a commitment to net zero by 2050 and your reduction targets, not SBTi validation. A validated target strengthens a plan, but it isn't required.

Can I call my target science-based without the SBTi?

Avoid it. Buyers read 'science-based target' as 'validated by the SBTi'. Describe your target as it is, for example 'a 42% cut in Scope 1 and 2 by 2030 from 2020, in line with a 1.5°C pathway', and say it isn't validated.

Science-based targets for SMEs: the SBTi route in 2026 and what changes in 2027

Through 2026, a UK SME with under 10,000 tonnes of Scope 1 and 2 emissions can set a science-based target through the SBTi's SME route: an absolute Scope 1 and 2 cut of at least 4.2% a year from a base year of 2015 or later, with 2030 the recommended target year. The SBTi's Corporate Net-Zero Standard V2.0 takes effect on 31 January 2027 and replaces the SME route with company categories; SME route submissions are accepted until 31 January 2028.

Updated 3 October 2026 by the Carbon Recycling team. Figures use the official UK government conversion factors and are checked against the current gov.uk guidance.

What a science-based target is

A greenhouse gas reduction target in line with what climate science says is needed to limit warming to 1.5°C. The Science Based Targets initiative (SBTi) sets the criteria, and its subsidiary SBTi Services checks companies' targets against them for a fee. Validated targets are published on the SBTi's website. Customers increasingly ask suppliers whether they have one, because their own targets depend on their suppliers cutting emissions.

Who can use the SME route

Under the SBTi Services criteria in force in 2026, you count as an SME if all of these are true:

You have under 10,000 tCO2e across Scope 1 and location-based Scope 2.
You are not a financial institution or an oil and gas company.
You are not required to use sector-specific SBTi criteria.
You are not a subsidiary of a group that would have to use the standard route.

And at least three of these are true:

Fewer than 250 employees.
Turnover under €50 million.
Total assets under €25 million.
Not in a sector that must set forest, land and agriculture (FLAG) targets.

What target you have to set

On the SME route, the near-term target covers Scope 1 and Scope 2 only:

Absolute reduction, not intensity.
At least 4.2% for each year between the base year and target year. A 2024 base year and 2030 target year means a cut of at least 25.2%.
Base year 2015 or later, a complete calendar or financial year, the same for Scope 1 and 2.
Target year 5 to 10 years from submission, or 2030, which the SBTi recommends.
Both Scope 2 methods disclosed, and no more than 5% of Scope 1 and 2 emissions excluded.

A near-term Scope 3 target is not required on the SME route, though you should measure Scope 3 and work to reduce it. If you also want a net-zero target, the criteria are stricter: a full Scope 3 inventory, a long-term target covering at least 90% of Scope 3, and cuts of 90% or more across all scopes by 2050 at the latest. Validated targets must be announced on the SBTi website within six months of approval.

What changes in 2027: Corporate Net-Zero Standard V2.0

The SBTi's board approved version 2.0 of its Corporate Net-Zero Standard on 21 May 2026. Its main change for small businesses is that the separate SME route ends. Instead, every company is placed in Category A or Category B, based on turnover, geography, emissions and employees, with lighter obligations for Category B. Most companies that use the SME route today are expected to fall into Category B. Category A companies will need third-party assurance of their base year and of progress at the end of each target cycle.

Date	What happens
Now to 30 January 2027	Submit under the current criteria, including the SME route
31 January 2027	V2.0 takes effect; validations against it become available
Until 31 January 2028	You can still choose to submit under the current criteria and the SME route
After 31 January 2028	New submissions under V2.0 only

If you are close to ready, submitting under the current SME route before the end of January 2028 keeps the simpler process. If you are starting from scratch, read the V2.0 criteria for Category B before you choose a base year.

How to get there

Measure a full year of Scope 1 and 2, with both location-based and market-based Scope 2. Our footprint guide walks through it, and our kWh to CO2e calculator handles energy and fuel.
Measure the main Scope 3 categories, at least the ones in our Scope 3 guide that apply to you.
Check the target is achievable. A 4.2% a year cut usually means a plan for vehicles and heating, not only a green tariff. Market-based Scope 2 counts, so a renewable electricity contract helps with Scope 2.
Submit through the SBTi Services validation portal and pay the fee published by SBTi Services.
Report progress every year, and put the target in your Carbon Reduction Plan and net zero plan.

Is it worth it for an SME?

A validated target matters most if your customers ask for one, if you sell to large companies with their own science-based targets, or if you want an independent check that your target is credible. If not, a well-evidenced target in a published Carbon Reduction Plan, or the free SME Climate Commitment through the UK Business Climate Hub, may serve you just as well. Whatever you choose, describe it accurately: calling an unvalidated target "science-based" is the kind of claim the CMA's green claims guidance warns against, as our offsetting and claims guide explains.

How Carbon Recycling helps

Carbon Recycling produces the base year inventory the SBTi asks for: Scope 1, location-based and market-based Scope 2, and Scope 3 by category, with every factor traceable. It keeps your base year fixed and tracks each later year against it, so you can see whether you are on course for the 4.2% a year.