LucyGroup-ARA2024_spreads web ready_FINAL

ESG CONTINUED

BUSINESS OVERVIEW STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENTS SHAREHOLDER INFORMATION

Social Responsibility Social responsibility is a common denominator across every part of the Group. It’s part of our culture to play an active role in bettering the communities in which we operate. We have a long-standing social responsibility programme that includes community investment, charitable giving and volunteering. Although we support a broad range of causes, our main focus is on educational, health, and environmental initiatives, as well as supporting disadvantaged children, the homeless and biodiversity.

CASE STUDY

CASE STUDY

Solar power

Waste management

Solar power is a key element of the Group’s strategy for reducing carbon emissions. According to the Intergovernmental Panel on Climate Change (IPCC), the carbon footprint of rooftop solar panels is roughly 12 times less than natural gas and 20 times less than coal in terms of CO 2 emissions per kWh of electricity generated. In 2024, we installed solar panels at key UK sites, starting with Lawson Fuses in Newcastle and then extending the initiative to Lucy Electric’s Thame site. As a result, all main UK sites now use solar energy, supporting our broader sustainability objectives. These installations have already made a substantial impact. In 2024 alone, we have generated 535,181 kWh of solar energy, leading to a saving of 110.8 tonnes of CO 2 equivalent (tCO 2 e).

Lucy Zodion has traditionally used plastic packaging such as bubble wrap and air bags to protect products during shipping. In line with our sustainability goals, tests were conducted in 2024 to determine whether these plastic materials could be replaced with a more sustainable alternative that adequately protects the products in transit. A decision was then made to replace the plastic packaging with cardboard infill made from shredded waste cardboard. This not only reduces plastic waste but also gives a second life to materials that would otherwise be discarded, promoting a circular economy and reducing deforestation. To support this initiative, Lucy Zodion has invested in a new cardboard shredder, which is expected to be fully operational once the facility extension at Sowerby Bridge is completed in February 2025.

CSR area

Target/KPIs

Education

• Complete a minimum of one education-focused CSR initiative per site every six months. • Complete a minimum of one health and wellbeing focused CSR initiative in the community per site every six months. • Complete a minimum of one BNG or environmental project per site every six months

Health & Wellbeing

Biodiversity

We measure our CSR performance across seven core subjects and 274 attributes within a CSR Scoring Matrix based on ISO 26000 Social Responsibility guidance. By understanding how our decisions affect society, we can identify opportunities to improve our social responsibility and ensure that we effect lasting change.

Our work in 2024 In 2024 we supported 80 different charities/community projects and environmental organisations and participated in 212 activities. We are really proud of the work we have been doing across our communities:

• Fundraising and donations – supporting local and national charities, local community activities and cultural events across all our locations for an array of causes covering health, youth & children, veterans, hospice care, the elderly, cancer charities, and food banks (all countries). • Undertaking vital work with local schools – supporting young people in education, work experience and apprenticeships; helping young people get the technology they need to receive an education ((UK, India, Dubai, Romania, Malaysia, Saudi Arabia). • Aiding youth organisations – with their education and by providing essential equipment and supplies (India, Brazil, South Africa, UK, Dubai). • Volunteering – visiting schools to explain the world of work, teach about engineering and sustainability or helping to refurbish premises or land (Thailand, UK, Romania, India, Saudi Arabia).

• Supporting orphanages and children in care – with much needed clothes, school equipment, food and other resources (Brazil, Saudi Arabia, South Africa, Thailand, Malaysia, UK). • Running health-related activities – such as blood donations, charity runs raising money for various organisations (India, Malaysia Dubai, UK, Thailand). • Promoting biodiversity within schools and the community – providing hedgehog houses, planting sensory gardens in schools, supporting school eco groups, visiting schools (UK, India, Malaysia, Thailand); cleaning up beaches, rivers, forests, local environments and removing plastics and rubbish from the streets (India, Saudi Arabia, Thailand, Romania); tree planting (UK, India, Saudi Arabia); donations to local wildlife charities and reserves (Brazil, UK, South Africa); recycling & reducing food waste (Thailand, UK, Dubai, Brazil, Malaysia, India).

Solar vs Grid – main UK sites

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Lucy Electric

Lucy Group HQ Lucy Zodion

Lawson Fuses

Total solar

Grid

Solar

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Lucy Group Ltd Annual Report & Accounts 2024

LUCYGROUP.COM

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