Businesses do not operate in isolation — they are part of the communities in which they work, employ people, and source resources. Engaging positively with local communities helps build trust, strengthen social licence to operate, and reduce risks related to opposition, reputation, or regulatory scrutiny. Meaningful community engagement can also lead to long-term shared value, including improved local livelihoods, a stronger workforce, and a more resilient operating environment.

To engage with local communities effectively, businesses should start by identifying who their stakeholders are — such as residents, workers, schools, local authorities, and community groups — and understanding how their operations impact them. This could include issues like noise, traffic, access to jobs, or environmental concerns. Open dialogue, community consultations, and grievance mechanisms help build mutual understanding and provide a foundation for collaborative solutions.

Beyond minimising negative impacts, businesses can also contribute positively by supporting local employment, sourcing from local suppliers, providing skills training, or investing in community projects. Initiatives could include education partnerships, volunteering schemes, or infrastructure improvements that benefit the wider community.

Importantly, engagement should be ongoing — not just one-off — and reflect the needs and priorities of the community itself. Measuring the impact of these efforts and being transparent about progress helps build long-term trust and accountability.

Do you engage with local communities to assess and mitigate its impact, and actively contribute to social and economic well-being?

• Percentage of the company's expenditure on local suppliers
• Percentage of the company's managers hired from the local area
• The total value of funds and in-kind assistance provided for community charities or causes.