Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the potential merits of participating in Phase 4 of the EU's emissions trading system after the UK leaves the EU.

The Government welcomes the formal agreement earlier this year on reform of the EU ETS for the 2021-30 period (‘Phase IV’). It strikes an effective balance between environmental ambition and protecting the competitiveness of industry. These reforms are expected to result in a more meaningful carbon price and stimulate investment in low-carbon technologies and the support of these reforms is without prejudice to any future decision on UK participation, or otherwise, in the EU ETS after we leave the EU.