LS Legal News Bulletin
Net Zero targets: How the UK plans to accelerate the development of green technologies
Friday 16th June 2023
How can the UK deliver its net zero targets in an affordable, efficient, and pro-business way? That was the question at the heart of Net Zero Review - commissioned by the government in September 2022. Mission Zero is a document with 129 recommendations for transitioning to a thriving green economy.
The Review travelled to all four nations of the UK, received over 1800 responses to the Call for Evidence, and held over 50 roundtables, making it one of the largest engagement exercises on net zero in the UK. In the process, hundreds of businesses clarified that policy help is needed - on skills, energy efficiency, support for SMEs, and providing a tax environment that stimulates investment.
The UK needs to accelerate the development of new and emerging green markets and low-carbon technologies. The Treasury should examine how policy incentivises investment in decarbonisation via the tax system and capital allowances. The government must also clarify the future of the UK ETS, expand its coverage to the rest of the UK economy, and address the inclusion of greenhouse gas removals (GGRs).
To support green job creation, the government should publish an action plan for net zero skills, set clear public targets for green skills action, and address the current skills shortages and disparities between green job creation region by region.
Lastly, businesses need standardised data on emissions in their supply chains to report their emissions and take action to reduce them accurately. Therefore, the government should engage with companies to define their data needs and develop bespoke recommendations to address these and incentivise financial disclosures on sustainability-related risks and opportunities.
