Comment on Public Accounts Committee report on environmental tax measures
Published:28 April 2021
Commenting on a new report from the Public Accounts Committee on environmental tax measures, Dr Jonathan Marshall, Head of Analysis at the Energy and Climate Intelligence Unit (ECIU) said “Aligning all tools of government behind net zero is key to ensuring that the transition takes place as quickly and as cheaply as possible. A tax system out of line with wider governmental goals has been an issue for years, but luckily, the impending Treasury net zero review brings with it the perfect opportunity to put that right.
“Rectifying a tax system that subsidises high carbon heating and favours higher-emitting modes of transport will avoid steeper emissions reductions in other parts of the economy. It will also provide clear market signals to allow the private sector to take on a lot of heavy lifting in cutting carbon, removing costs from state books. A holistic look at the whole system can ensure that changes are made well and made once, capitalising on public backing for polluting products costing more and setting the UK up to hit its world leading carbon targets.”