B&Q pilots GXO AI powered transport optimisation platform, driving savings of 240,000 km and 150 tonnes of CO₂

B&Q is piloting GXO’s AI powered transport optimisation platform. This technology analyses millions of route variations to identify the most efficient schedules, with early results indicating potential savings of 240,000 kilometres and 150 tonnes of CO₂ annually. Full implementation is planned for 2025.

As part of its path to net-zero, GXO employs an activity-based carbon accounting methodology, using DEFRA conversion factors to calculate emissions from fuel usage, energy consumption, and mileage. This data is submitted monthly to Kingfisher and independently audited annually.

Since their partnership began in 2015, GXO has managed B&Q’s retail transport network, including national and regional distribution centres, 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,” says Gavin Williams, Managing Director, GXO UK & Ireland.  

“Our partnership with B&Q exemplifies this, showcasing how a thoughtful blend of available technologies and a shared commitment to decarbonisation can drive real progress. Its 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, Director of Logistics at B&Q, says: “Decarbonisation 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 roadmap to decarbonise the logistics fleet. Thanks to a combination of performance improvements, accurate emissions reporting, and strategic initiatives, the companies reduced their emissions forecast by 40% in 2024, placing them ahead of schedule on their journey to net-zero.

A cornerstone of the decarbonisation strategy is the transition to alternative fuels. Since 2019, B&Q has deployed 105 LNG vehicles - now the second largest LNG fleet in the UK - reducing carbon emissions by 16,000 tonnes. In December 2024, the companies completed the conversion of all remaining vehicles and 80 refrigerated trailers to hydrotreated vegetable oil (HVO), which, it is claimed, cuts CO₂ emissions by up to 90% 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 tonnes of CO₂ equivalent annually.

Beyond fuel changes, GXO has implemented a range of initiatives to reduce road miles and improve operational efficiency. These include: Backhaul optimisation, saving 104 tonnes of Scope 3 emissions in 2024 alone; Paragon and Microlise systems to enhance route planning and driver performance; A 9.5% reduction in fleet size since 2021 through smarter scheduling and behaviour-based driving improvements.

In Q1 2025, the companies introduced 35 new LNG powered Volvo FH Aero tractor units. These vehicles feature extended aerodynamic cabs that improve fuel efficiency by 3%, saving an estimated 100 tonnes of CO₂ annually.

RTIH AI in Retail Awards

RTIH, organiser of the industry leading RTIH Innovation Awards, proudly brings you the first edition of the RTIH AI in Retail Awards, which is now open for entries. 

Deadline for submissions is Friday, 5th December. It’s free to enter and you can do so across multiple categories.

As we witness a digital transformation revolution across all channels, AI tools are reshaping the omnichannel game, from personalising customer experiences to optimising inventory, uncovering insights into consumer behaviour, and enhancing the human element of retailers' businesses.

With 2025 set to be the year when AI and especially gen AI shake off the ‘heavily hyped’ tag and become embedded in retail business processes, our newly launched awards celebrate global technology innovation in a fast moving omnichannel world and the resulting benefits for retailers, shoppers and employees.

Our winners will be those companies who not only recognise the potential of AI, but also make it usable in everyday work - resulting in more efficiency and innovation in all areas.

Winners will be announced at an evening event at The Barbican in Central London on Thursday, 29th January.