Ikea slashes global carbon footprint as revenues surge

The retailer said that in 2023 it decreased Scope 3 emissions by 12.5% and invested an additional €700m (£598m) into renewable energy – taking its total investment since 2009 to €4bn (£3.4bn).

The Ikea franchisee employs 177,000 people in 31 countries but said it has decreased its carbon emissions by 24.3% since 2016 by making “new investments… in digital services, customer fulfilment and across 60 new Ikea locations”.

To achieve this reduction, the business doubled the number of customers using its buyback and resell service to 211,600 customers; offered ‘As-Is’ areas in 373 stores globally where customers can buy returned, discontinued, ex-display and second-hand items; and provided 24.6 million spare parts to customers in 28 countries.

Ingka Group said it recycled 75.9% of waste last year, while 79.2% of all electricity used by the retailer was generated from renewables.

Ingka chief executive Jesper Brodin said: “This year, we celebrated 80 years of Ikea. So much has changed in eight decades, yet we are still guided by the same vision: to create a better everyday life for the people. That has never been more important or relevant than today.

“Despite a challenging year, our amazing co-workers continued to support the needs and dreams of our customers while we invested in making more products affordable to the many. One of the highlights is that we managed to reduce our climate footprint while growing the business.”