The Budget allowed Chancellor Rishi Sunak to make several commitments to the environment, once the immediate issues of Coronavirus had been addressed.
In terms of carbon capture, he pledged that the UK would, in his words, “plant forest larger than Birmingham”. Over the next five years, he intends that 30,000 hectares of trees will be planted, alongside the restoration of 35,000 hectares of peatland in a £640m ‘nature for climate fund’.
The Chancellor highlighted other forms of carbon capture and storage with a £800m investment in technology to create two more carbon capture clusters. Naturally, being a politician, he also added that this would create up to 6,000 low carbon jobs in the English regions and Scotland.
Lower carbon and cleaner fuels were in the mix, with tax relief being abolished on the less environmental fuels – such as diesel and gas, with the comment, “"First, we will increase taxes on pollution." From April 2022 the levy on electricity will be frozen and raised on gas and most sectors that have benefitted from lower diesel duty will lose this.
On energy, the commitment to a greener country powered by renewable electricity was made clear with £500m promised for a new roll out of rapid charging hubs for electric cars, with the aim that drivers will never be more than 30 miles away from a charger.
He also said that the Government was to introduce two measures to air quality and recycling, with £300m to be invested in tackling nitrogen dioxide emissions in towns and cities and a new tax on plastics packaging. From April 2022, manufacturers and importers will be charges £200 per tonne on packaging made of less than 30 per cent recycled plastic.
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