Climate Change Data

Environmental Metrics

ESG Focus Areas

• Energy and Carbon emissions
• Health & Safety (H&S)
• Waste
• Water

Environmental Achievements

• Reduction in Net Scope 1 & 2 market-based GHG emissions from the 2020 baseline (41%)
• Total renewable electricity (100%)
• Total waste to landfill (0 thousand tonnes)

Social Achievements

• Fatalities (0 for employees and contractors)
• Reportable Injury and Illness rate (0.17 per 100,000 hours worked)
• Lost Time Reportable Injury and Illness rate (0.10 per 100,000 hours worked)

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Data discrepancies in energy data
• Manual data collection and consolidation processes
• Inclusion of carbon offsetting for the first time

Mitigation Strategies

• Haleon investigated all identified data discrepancies and introduced measures to improve data controls.
• Recommendation to introduce automated processes and systems-based solutions for data collection.
• Recommendation to formally document and review its offsetting strategy annually.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: DNV Business Assurance Services UK Limited

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Climate Change
• Health Inclusivity
• Sustainable Sourcing
• Sustainable Packaging
• Human Rights
• Diversity & Inclusion

Environmental Achievements

• Reduced net Scope 1 and 2 carbon emissions by 41% versus 2020 baseline.
• Achieved 100% renewable electricity across directly owned and controlled sites.
• 65% of packaging was recycle-ready.

Social Achievements

• Empowered 22.4 million people through health inclusivity initiatives.
• Launched Global Parental Leave Policy (26 weeks fully paid leave).
• Launched Haleon HealthPartner portal for Health Professionals (3.6m new users).

Governance Achievements

• Established an Environmental & Social Sustainability Committee.
• Implemented a robust risk management framework.
• Established a Global DEI Council.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to high demand and commodity inflation.
• Meeting ambitious ESG goals (e.g., Scope 3 emissions reduction).
• Geopolitical instability impacting markets and supply chains.

Mitigation Strategies

• Increased manufacturing capacity for key products.
• Implemented dual sourcing for critical raw materials.
• Collaborating with suppliers on sustainability initiatives.
• Scenario planning to address geopolitical risks.

Supply Chain Management

Responsible Procurement

• Code of Conduct
• Supplier sustainability requirements
• Third-party risk management assessments
• EcoVadis assessments
• Pharmaceutical Supply Chain Initiative audits

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events (flooding, heavy rainfall, storms)
• Drought and water stress
• Reduced availability and increased price volatility of raw materials

Transition Risks

• Carbon pricing regulations
• Increased consumer expectations for sustainable products
• Strengthening of climate-related regulations

Opportunities

• Growing demand for sustainable products
• Decreasing cost of renewable technologies

Reporting Standards

Frameworks Used: TCFD, UNGC

Sustainable Products & Innovation

• Recycle-ready packaging
• Natural product variants

Awards & Recognition

• CHPA 2022 People’s Choice Award (Theraflu)
• Various marketing awards

Environmental Metrics

ESG Focus Areas

• Health inclusivity
• Environment
• Upholding our standards

Environmental Achievements

• 48% reduction in net Scope 1 and 2 carbon emissions vs a 2020 baseline
• 70% recycle-ready packaging
• Achieved first water-neutral site in Cape Town

Social Achievements

• Empowered 41 million+ people to be more included in opportunities for better everyday health
• Secured a spot as one of the top ten performers for Women in Leadership in the FTSE 100 for a second year running
• Launched ‘LEAD’, Haleon’s new global leadership development programme, and our new ‘Accelerate’ programme

Governance Achievements

• Established the Environmental & Social Sustainability Committee
• 98% completion rate for Code of Conduct and ABAC Policy training
• 100% satisfactory health authority inspections of manufacturing sites

Climate Goals & Targets

Environmental Challenges

• Scope 3 carbon emissions increased by 4% vs 2022 baseline
• Virgin petroleum-based plastic footprint increased by 3% compared to 2022 baseline
• Limited recyclability of consumer health waste in current waste infrastructure

Mitigation Strategies

• Developing a three-tiered strategy to reduce Scope 3 emissions
• Implementing programmes of right-sizing packaging and using less plastic
• Working with partners to drive global and local initiatives to improve the recyclability of consumer health packaging

Supply Chain Management

Supplier Audits: 25 audits against PSCI principles

Responsible Procurement

• Supplier Code of Conduct
• Supplier ESG Expectations

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Universal Standards, SASB Household and Personal Care Products standard, SFDR – Principal Adverse Indicators

Third-party Assurance: KPMG LLP (limited assurance)

UN Sustainable Development Goals

• 3
• 10
• 12
• 13

Detailed in the report's introduction and throughout

Sustainable Products & Innovation

• Centrum Gummies in bottles made from up to 100% recycled plastic

Awards & Recognition

• ESG Industry Top Rated company by Sustainalytics
• Added to Dow Jones Sustainability Index Europe (DJSI) 2023 and S&P’s 2024 Global Sustainability Yearbook