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

To ask Her Majesty's Government, further to the report by the Climate Change Committee Sixth Carbon Budget, published on 9 December 2020, what estimate they have made of the potential amount of greenhouse gas emissions which could be reduced by spending up to two per cent of GDP.

The Committee on Climate Change's (CCC) latest estimate puts the incremental costs of action to deliver net zero emissions by 2050 at below 1% of UK GDP throughout the next 30 years. The Government is considering the CCC’s advice on Carbon Budget 6, and our Impact Assessment on setting the level of Carbon Budget 6 will set out more detail on the costs and benefits associated with reducing emissions.

HM Treasury is conducting a review on how to achieve the net zero transition in a way that works for households, businesses and public finances, as well as ensuring that this is compatible with our plans for a thriving and competitive economy. Their interim report, published on 17 December 2020, set out the overall approach to the Review and analysis which will inform the final report due this Spring.