Press Release

Chancellor blows a hole in UK carbon budgets

Budget-2010-006

Key announcements:

  • Investment for renewables cut
  • Investment in energy efficiency cut
  • No more funding for UK Green Investment Bank
  • No mention of CCS funding
  • Dash for gas continues
  • Exemption to green levies for energy intensive industries
  • Re-announcement of international climate finance
  • Tax cut for diesel vehicles

Sepi Golzari-Munro, head of the UK programme for the climate policy think tank E3G said:

“With infrastructure at the heart of the spending review, Government moves to sell-off the UK’s Green Investment Bank are both incomprehensible and reckless.  The GIB is Britain’s only infrastructure bank. The Chancellor is also slashing renewables and energy efficiency investment, and eliminating CCS funding, making it almost impossible to meet our carbon budgets.  Rather than building the low carbon infrastructure fit for the future, the Chancellor has doubled down on building the infrastructure of the past.”