Ethical spending continues to rise, says Co-op
CONSUMER spending on ethical goods and services has grown almost three-fold in the past 10 years, according to The Co-operative Bank.
Its Ethical Consumerism Report shows that the ethical market in the UK was worth £36bn in 2008 compared to £13.5bn in 1999.
The report analyses ethical sales data for sectors including food, household goods, eco-travel and ethical finance. Most sectors have outstripped the market, which has seen overall consumer spending increase by 58% in the 10-year period.
But sales of Fairtrade products have increased 30-fold, from £22m in 1999 to £635m in 2008. The bank added that it expects Fairtrade purchases to break the £1bn barrier in 2010.
The data also shows that sales of energy efficient electrical appliances and boilers have grown 12-fold and nine-fold respectively, while the financial services market has seen ethical banking and investments triple over the decade.
Neville Richardson, chief executive at Manchester-based Co-operative Financial Services, said: “It is clear that UK shoppers have grown accustomed to supporting growers in developing countries by buying Fairtrade an initiative pioneered by the Co-operative.
“Although the report shows that the idea of ethical purchasing is now well established amongst many consumers there is still a long way to go if we are all going to adopt the low carbon lifestyle needed to avoid cataclysmic climate change.”
He added: “In order for the UK to reduce its carbon emissions by 30% by 2020 there will need to be a step-change in take-up of low carbon technologies, and this will need a new contract between business, government and the consumer.”
