Slow progress on sustainable buildings, RICS report claims

The latest sustainability report from the Royal Institution of Chartered Surveyors (RICS) highlights the continued challenge of embedding sustainable practices within the built environment, despite some signs of progress. While demand for sustainable buildings and investment remains steady, particularly in regions such as Europe, significant gaps persist in terms of skills, knowledge, and financial incentives.

The report, based on over 4,000 responses from professionals in 32 countries, indicates that green buildings are increasingly attracting a premium in rents and prices compared to non-sustainable properties. This trend is particularly strong in regions like the Middle East and Africa, where climate vulnerabilities drive higher demand for resilience-focused developments. However, the Americas lag behind, with relatively lower investor interest in sustainable assets. Occupiers and investors globally recognise the importance of resilience to extreme weather, but this is not consistently prioritised across projects.

Carbon measurement remains a critical issue, with only 21% of respondents stating that embodied carbon assessments significantly influence material choices in construction. While some progress has been made, the report points to high costs, insufficient data, and the lack of a standardised approach as key barriers. Similarly, the impact on biodiversity is not adequately considered on a majority of projects, though recent legislative efforts in the UK requiring biodiversity net gains may set an example for other nations.

Financial constraints, exacerbated by high borrowing costs and inflation, are cited as the largest obstacle to adopting greener building practices. Skill shortages and inadequate training also pose substantial challenges, with many professionals feeling ill-equipped to implement sustainable principles effectively. The report calls for increased education and training initiatives to build capacity and advance knowledge on low-carbon materials and sustainable techniques.

Policy interventions remain crucial to driving meaningful change. The report emphasises the need for mandatory carbon assessments, harmonised global standards, and targeted financial incentives to support the sector’s transition. Initiatives like the UK’s Net Zero Carbon Buildings Standard and international tools such as the Built Environment Carbon Database offer pathways to more sustainable practices but require broader adoption.

RICS underscores the urgency of accelerating action to avoid irreversible climate impacts. Collaboration between governments, industry stakeholders, and professional bodies is essential to overcome existing barriers. The report concludes with a call to policymakers to set evidence-based targets, enhance regulations, and foster innovation, ensuring that the built environment becomes more sustainable, resilient, and inclusive.