Are ESG and CSR the same?

ESG (Environmental, Social, Governance) and CSR (Corporate Social Responsibility) are related but not the same. CSR is about a company’s voluntary efforts to contribute positively to society, focusing on philanthropy and community engagement. ESG, however, is more comprehensive, involving measurable criteria that investors use to evaluate a company’s sustainability and ethical practices. ESG integrates these factors into the core business strategy, making it crucial for long-term success and investment appeal. For UK SMEs, understanding both is key to building a responsible business.