UK environmental strategy

Last updated: 17/04/2024

In January 2023, the independent Net Zero review led by Chris Skidmore MP was published, laying out 129 recommendations to catalyse action in individual sectors of the economy, and to enhance the role of local authorities, communities, and individuals to deliver net zero. The government’s response in March 2023 did not include any major tax announcements.
At the Spring Budget 2023, the government announced up to £20 billion funding for early deployment of Carbon Capture, Usage and Storage over the next 10 years. On 20 December 2023, the Department for Energy Security and Net Zero (DESNZ) published it’s “vision to establish a competitive carbon capture market by 2035”.
On 30 March 2023, the government - primarily DESNZ - released a large number of publications in relation to energy security and net zero, including a new consultation on addressing carbon leakage risk to support decarbonisation, the 2023 Green Finance Strategy and the UK Net Zero Research and Innovation Framework: Delivery Plan 2022 to 2025.
On 20 September 2023, Prime Minister Rishi Sunak announced changes to the government’s green commitments while also insisting the UK remained on track to hit its net zero target for 2050. The changes included a delay in the ban on sale of new petrol and diesel cars from 2030 to 2035, an exemption to phase out fossil-fuel boilers by 2035 and increased grants to help the transition to heat pumps.
Further to announcements made at the Autumn Statement 2023, the government published on 26 November 2023 the Advanced Manufacturing Plan which aims at investing in the future of this sector in the UK, opening markets and removing obstacles for business. It is supported by £4.5bn of funding including £2bn for the automotive industry, £975m for aerospace, £960m for green industries and £520m for the life sciences sector.
Timing: this is a continuing area of development affecting many countries, so there is no specific timeframe for changes.