Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether she has had discussions with Cabinet colleagues on the potential merits of taxing high-polluting corporations to help support net zero initiatives.

The Government is committed to maintaining an ambitious carbon pricing scheme to ensure that polluters continue to pay for their emissions. The UK’s main carbon pricing scheme is the Emissions Trading Scheme, which covers emissions from power generation, energy intensive industries and aviation (domestic, UK-EEA and UK-Gibraltar flights). The ETS is one of the most cost-effective tools for promoting decarbonisation and plays a key role in helping the UK achieve Net Zero emissions by 2050.

The UK ETS raised approximately £3.5bn in revenue in 2024/25.