High Costs & Uncertainty Stall Climate Action Globally, Says Report

While consumers deeply care about environmental and social issues, financial pressures and a lack of clear guidance are stalling greater action, according to a report published by the Ingka Group.

Surveying over 30,000 adults across 30 countries, the report titled 'People & Planet Consumer Insights & Trends 2025' revealed that over 8 in 10 people are taking some climate action.

This action is led notably by the under 30s, with 36% of this age group acting most or all of the time. However, despite this engagement, many feel disempowered due to high costs and uncertainty regarding the impact of their personal efforts.

Global concerns about climate change remains high (64%), and almost half (45%) feel personally impacted. Young adults aged 18-24 (67%) and those living with children worry the most.

The increased cost of living presents a clear barrier—41% report that price prevents them from taking more climate action. Paradoxically, saving money (54%) is the top motivator for doing more. Additionally, 44% of people say that not knowing which actions will have the most impact prevents them from increasing their efforts.

Concern for societal fairness is equally widespread, with 61% worrying about inequality. In response, 69% are taking some action to address inequality, and community efforts, such as volunteering (21%) and donating to local charities (29%), have increased since 2023. Consumers are demanding accountability, with 82% agreeing that companies need to pay living wages.

Respondents seek robust institutional leadership, with at least 6 in 10 demanding significant action from both government and business to reduce climate change and inequality.

Seven in ten also demand better communications from companies regarding the environmental and social impacts of their products. To effectively engage consumers, the report advises businesses to prioritise providing affordable, easy-to-understand solutions that clearly connect sustainability benefits to personal gains like financial savings and health.

Who Bears the Brunt?

According to a 2025 UNESCO report, 239 million people could be living in extreme poverty by 2050, and 2.5 billion people could be severely impacted by climate change. These groups frequently lack the means to bounce back, which compounds the already-existing disparities.

In addition, climate-driven displacement is growing. According to the Office of the United Nations High Commissioner for Refugees (UNHCR) (2024), about 80 million forcibly displaced people are currently living in areas highly exposed to climate-related hazards. Approximately 65% of displaced populations also face conflict-related risks, compounding their vulnerability.

The UNESCO report urged climate policies to incorporate social justice and equity.