Our approach to reducing Scope 3 emissions

Scope 3 emissions (those in our value chain) form 96% of our total emissions. These emissions are beyond our direct control, creating uncertainty in meeting our targets.  

Our Scope 3 targets align with the latest and most ambitious SBTi target requirements. These ambitious targets can only be achieved through close collaboration and partnership with our suppliers, which, by definition creates uncertainty in meeting these targets. 

 We identify hotspots and opportunities for decarbonisation using data from platforms like Manufacture 2030 and HIGG. We are continuously improving the accuracy of our Scope 3 footprint by working with suppliers and third-party providers to obtain primary emission factor data. 

Our ambition

Achieve net zero in our value chain by 2050

Our Scope 3 targets are approved by the Science Based Targets initiative (SBTi) and aligned with limiting global temperature rise to 1.5°C.

We are committed to reducing our near-term FLAG emissions by 36.4% and our energy and industrial emissions by 50.4% by 2030. These targets cover emissions from purchased goods for resale, transport, and consumer use.

By 2025/26, we aim for our key suppliers who account for 80% of our Scope 3 emissions to have approved 1.5°C net zero Science Based Targets.

Our progress so far 

 BaselinePerformanceTarget
 2018/19 FY2023/24 FY2024/25 FY2050/51 FY
Absolute Scope 3 GHG emissions (tC02e) 25,652,904N/AN/ANetZero
 2022/23 FY2023/24 FY2024/25 FY2025/26 FY
Suppliers disclosing through M2030 or HIGG (% of emissions) 57.2% 
 (683 suppliers) 
53.0% 
 (612 suppliers) 
No target
Suppliers with SBTi 1.5 degree net zero target approved (% of emissions)  
SBTi 1.5 degree net zero target approved (LTIP metric only) Less than 2% (8 suppliers) 
  
6%  
(23 suppliers) 
11.6%  
(71 suppliers 
50-80% 
  
- Any 1.5 degree aligned target approved Unavailable 31.9% 
 (74 suppliers) 
39.8% 
 (148 suppliers) 

50% 

- Any science-based target 
approved or committed 
Unavailable - 41.9% 
 (91 suppliers) 
53.2%  
(199 suppliers) 

N/A

For further information on our performance, please visit our Reports & Policies page for our Plan for Better report or read our full sustainability results in our Plan for Better Databook 

Our approach

We prioritise supplier engagement and actively encourage our suppliers to join us on this journey to understand their carbon footprints and set 1.5°C-aligned SBTi targets to drive emissions reduction. Our engagement strategy focuses on those 255 ‘key carbon suppliers’ responsible for 80% of our Scope 3 emissions, supporting them to disclose through platforms like Manufacture 2030, HIGG and CDP. 

We maintain active engagement through our own-brand supplier Making it Happen Action Groups, fostering collaborative innovation to reduce the carbon footprint of our products. This includes sharing best practices, co-developing solutions, and tracking progress against shared goals. Our leadership in this space has been recognised by CDP, where we earned a place on the Supplier Engagement Assessment Leadership Board for our 2024 CDP Climate disclosure. 

We have identified three key emission hotspots: agriculture, electricals and fuel. These areas represent the most material sources of Scope 3 emissions across our value chain. We are working closely with suppliers in these sectors to understand their progress, develop decarbonisation roadmaps, and innovate together to reduce the carbon footprint of our products.

These roadmaps are built around shared data, clear reduction levers and measurable milestones, enabling us to track progress and prioritise action where it matters most. In agriculture, for example, we’ve identified 27 High Environmental Impact Suppliers (HEIS) based on volume, value and environmental risk. We are collaborating with them to reduce emissions across meat, fish and poultry, produce and dairy.

This work is already underway through our Making it Happen Action Groups and is supported by our involvement in industry-wide initiatives like the BRC Mondra Coalition, helping to accelerate progress across the value chain.

There are significant industry-wide challenges in measuring Scope 3 emissions, so we are playing an active role in the British Retail Consortium (BRC) Mondra Coalition. Comprising the UK’s leading food companies, this consortium aims to accelerate the transition to net zero by improving the measurement and management of the food sector's Scope 3 emissions. 

We are also working with third-party data providers to improve the accuracy and specificity of our emissions data, particularly for our own-brand composite products. This includes developing more granular secondary emission factors and embedding primary data from strategic suppliers into our footprint. These efforts are essential to ensure we can track real emissions reductions and model realistic forecasts. 

We know making dietary shifts can have significant impacts on climate change. That is why we are encouraging more diverse and ‘better’ meat, fish, poultry and dairy, and more plant-rich choices through multibuys, our Aldi Price Match range and our yearly Great Fruit and Veg Challenge. 

Through sustainable sourcing, we are also making our meat less carbon-intensive—providing our customers with more sustainable choices while supporting our farming supply chain. We’re also active in the Institute of Grocery Distribution (IGD)’s Net Zero Diets workstream, helping shape industry-wide approaches to shifting consumption patterns in line with climate goals. 

We continue to work to drive progress on the reduction of Scope 3 emissions through our priority industry collaboration groups, including the BRC Mondra Coalition, Institute of Grocery Distribution and WRAP. 

Our CEO, Simon Roberts, has also been appointed as a retailer on the UK Government’s new Food Strategy Advisory Board, supporting the development of a forward-thinking National Food Strategy. This reflects our commitment to shaping a more resilient and sustainable food system for everyone. 

We recognise that Scope 3 emissions are largely beyond our direct control, which creates uncertainty in meeting our targets. However, we are committed to influencing change across our value chain through transparency, collaboration and innovation. For FLAG emissions we are engaging directly with our most material suppliers, as well as addressing challenges such as supply chain traceability and compliance with the EU Deforestation Regulation. 

We are also working to improve infrastructure and support the transition to renewables and electric vehicles, particularly in supplier operations and transport. In parallel, we are engaging with government and industry to explore mechanisms for enabling healthy and sustainable diets, while maintaining customer choice. 

Our Scope 3 strategy is underpinned by strong governance and stakeholder engagement. We are mobilising action across our value chain, setting clear expectations for disclosure and reduction, and participating in industry working groups to advance Scope 3 accounting and reporting. 

Case study

Conventional mushrooms grown without peat

In their natural, wet state, peatlands are a critical nature-based solution to sequester carbon and provide valuable habitats. In October 2024, we became the first UK supermarket to launch conventional mushrooms grown without peat, in close collaboration with our supplier Monaghan, which spent ten years researching peat alternatives. The new range will remove 20,465 tonnes of peat from mushroom production each year.

This change not only protects vital peatland ecosystems but also significantly reduces our Scope 3 emissions, as peat extraction and use are major sources of carbon release. By eliminating peat, we’re cutting emissions embedded in our supply chain and moving closer to our climate targets.

Case study

Integrated Gamechanger Beef

Working with ABP Food Group and more than 540 trusted British farmers, we have launched a new reduced carbon, grass and forage fed Taste the Difference Aberdeen Angus beef range into over 60 stores, offering high quality, great tasting products, with 25% reduced carbon compared to the industry average. By integrating our dairy and beef supply chains, we have been able to produce a reduced carbon, fully traceable product, from farm to fork providing farmers with greater security and stability, resulting in a more sustainable, highly consistent, and traceable beef product for our customers.