Media briefing: UK response to US Inflation Reduction Act
Dr. Andy Palmer, CEO PodPoint and Founder, Palmer Automotive;
Nick Winser, Commissioner, National Infrastructure Commission;
Ana Musat, Executive Director, Policy & Engagement, Renewable UK;
Dr Chris Case, Chief Technology Officer, Oxford PV;
Jess Ralston, Head of Energy, Energy and Climate Intelligence Unit (ECIU, Chair).
On August 16, 2022 US President Joe Biden signed the Inflation Reduction Act (IRA) into law, stimulating massive investment in green technologies in the United States. The Act increased competition in the global green industry race and prompted the EU to introduce new legislation including the Net-Zero Industry Act (NZIA) and the Critical Raw Materials Act in response. It has also influenced business decisions, with investments being moved to the US and EU to take advantage of incentives on offer.
In the UK, the Government has faced accusations of being slow to respond to the Inflation Reduction Act, with chancellor Jeremy Hunt saying that the UK will not go "toe-to-toe with our friends and allies in some distortive global subsidy race.” Instead, Mr Hunt argued that the world was ‘playing catch up’ with the UK in the race for green technologies, and he promised a more ‘strategic’ response in the Autumn; the expectation is that this will be at the time of the Autumn Statement.
This briefing will therefore address:
- What options that Government has to respond to the Inflation Reduction Act, and what would be the best way to support low-carbon investments;
- Which sectors are likely to be targeted by any Government intervention and which will delver the best return on investment;
- Whether the UK is falling behind international competitors in the global green industry race and if so, what impact this will have;
- The impact of recent Government rollbacks on net zero policies and what effect Minister’s rhetoric has had on investors.
If you are a journalist who would like to attend the briefing please contact George Smeeton: firstname.lastname@example.org, t: +44 (0)7894 571 153.