B Corp certification faces backlash as London leads global ethical business boom
The B Corp certification scheme is facing criticism while also expanding its influence. Aneisha Soobroyen, co-founder of pet food brand Scrumbles, recently dropped her company’s certification, calling it 'greenwashing' rather than proof of ethical business. Meanwhile, the organisation behind the scheme is tightening its standards to address concerns about credibility and impact.
London remains a hotspot for certified firms, with over 1,000 businesses holding the badge—the highest number in any city worldwide. To earn B Corp status, companies must score at least 80 out of 200 on an assessment covering governance, workers, community, environment, and clients. Well-known brands like Cook, Lucky Saint, and Farrow & Ball currently hold the certification. However, the process has come under scrutiny, prompting B Corp to revise its criteria.
The updated standards will set stricter minimum requirements in key areas such as human rights, fair wages, environmental protection, and climate action. The changes aim to ensure that certified businesses meet higher ethical and sustainability benchmarks.
Despite criticism, the certification appears to benefit small businesses. Data shows that B Corp-accredited firms saw revenues rise by 23.2% between 2023 and 2024, surpassing the national average of 16.8%. Job growth among these companies also outpaced the wider market, with headcounts increasing by 9.6% while the general business population shrank by 0.5%.
Sojo, a clothing repair service certified as a B Corp in January 2024, has partnered with major retailers like Marks & Spencer, Arket, Paul Smith, and Reiss. Founder Josephine Philips argues that the certification helps align profit with purpose. She believes it drives positive change in both business practices and the fashion industry.
Yet not all business leaders share this view. Soobroyen’s decision to withdraw Scrumbles’ certification highlights ongoing debates about whether the scheme truly reflects ethical commitment or simply serves as a marketing tool. The B Corp movement continues to grow, with London leading as the global hub for certified companies. Stricter standards are on the way, aiming to reinforce the scheme’s integrity. For now, the financial and employment gains for accredited businesses contrast with persistent doubts about the certification’s real-world impact.
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