GXO Logistics, B&Q on track to meet zero-emissions targets by 2040

GXO Logistics Inc., the world’s largest pure-play contract logistics provider, announced Aug. 27 that it and B&Q, the U.K.’s leading home-improvement and garden-living retailer, are making strong progress toward their shared goal of achieving net-zero carbon emissions across B&Q’s logistics operations by 2040.

Since the partnership began in 2015, GXO has managed B&Q’s retail-transport network, including national and regional distribution centers, store-to-home final-mile services, returns processing and a flagship seasonal warehouse.

B&Q has a strong online presence and marketplace, with over 700,000 products available for home delivery or click and collect.

“Achieving zero emissions in logistics transport is a significant challenge—one that can only be met through a combination of strategies,” said Gavin Williams, the managing director of GXO U.K. and Ireland. “Our partnership with B&Q exemplifies this, showcasing how a thoughtful blend of available technologies and a shared commitment to decarbonization can drive real progress. B&Q’s approach stands out as a model for the industry proving that innovation, collaboration and sustainability can go hand in hand to create a more efficient and environmentally conscious fleet.”

Darren Hall, the director of logistics at B&Q, said, “Decarbonization of our fleet and use of up-to-date and available technologies is a vital step in our transition to alternative fuels, allowing us to give customers more choice in sustainable-delivery options and reducing our impact on the environment. It’s great to work alongside GXO to help us to drive our ambitions forward and reach our 2040 net-zero goals.”

In 2022, GXO and B&Q launched the B&Q Sustainability Glidepath, a comprehensive roadmap to decarbonize the logistics fleet.

Thanks to a combination of performance improvements, accurate emissions reporting and strategic initiatives, the companies reduced their emissions forecast by 40 percent in 2024, placing B&Q ahead of schedule on the journey to net zero.

A cornerstone of the decarbonization strategy is the transition to alternative fuels.

Since 2019, B&Q has deployed 105 liquified natural gas (LNG) vehicles—now the second-largest LNG fleet in the U.K.—reducing carbon emissions by 16,000 metric tons.

In December, the companies completed the conversion of all remaining vehicles and 80 refrigerated trailers to hydrotreated vegetable oil (HVO), which cuts CO2 emissions by up to 90 percent compared to diesel.

GXO and B&Q have also invested in electric vehicles (EVs), with five electric vans and two electric HGVs already in operation.

Two more electric HGVs will be added in 2025, with plans to introduce 55 additional EVs over the next five years.

The current EV fleet is projected to save 250 tons of CO2-equivalent annually.

Beyond fuel changes, GXO has implemented a range of initiatives to reduce road miles and improve operational efficiency for B&Q.

These include:

• Backhaul optimization, saving 104 tons of scope 3 emissions in 2024 alone.

• Paragon and Microlise systems to enhance route planning and driver performance.

• A 9.5 percent reduction in fleet size since 2021 through smarter scheduling and behavior-based driving improvements.

In the first quarter of this year, the companies introduced 35 new LNG-powered Volvo FH Aero tractor units.

These vehicles feature extended aerodynamic cabs that improve fuel efficiency by 3 percent, saving an estimated 100 tons of CO2 annually.

Looking ahead, B&Q is piloting GXO’s proprietary artificial intelligence (AI)-powered transport optimization platform.

This technology analyzes millions of route variations to identify the most efficient schedules, with early results indicating potential savings of 240,000 kilometers and 150 tons of CO2 annually.

Full implementation is planned for 2025.

As part of its path to decarbonization, GXO operations in the U.K. employ an activity-based carbon-accounting methodology, using the U.K.’s Department for Environment Food and Rural Affairs conversion factors to calculate emissions from fuel usage and energy consumption.

This data is submitted monthly to B&Q owner Kingfisher and independently audited annually.