Most companies have begun taking climate action, but relatively few have established the funding, accountability and measurement systems needed to translate their efforts into measurable emissions reductions and business gains, according to the 2026 Net Zero Report by South Pole.

The study surveyed 600 senior business decision-makers in Europe and the United States. While 90% said their organizations had active climate initiatives, only 43% reported having an approved strategy with implementation well underway. Just 23% said at least three-quarters of their climate-related business cases had secured approval from a chief financial officer or investment committee in the previous 24 months.

South Pole classified 12% of respondents as “Advanced,” meaning their companies had an implemented strategy, plans addressing both value creation and risk protection, climate risk integrated into financial decisions, and dedicated transition funding. The remaining 88% did not meet all four conditions.

The report calls the disconnect between climate activity and tangible results the so-called “value delivery gap.” Although 77% of respondents said their climate plans addressed both risk protection and value creation, 53% described their work as primarily compliance-driven.

Nearly all respondents, 95%, reported barriers to capturing business value. The most frequently cited was fragmented responsibility across departments, identified by 24%. Another 20% said sustainability and finance teams used different methods to assess value.

Companies in the Advanced group were 91% more likely to report improved operational efficiency or lower costs, and equally more likely to report better access to finance or financing terms. They were also 77% more likely to report winning new customers or contracts and 76% more likely to enter new markets.

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