The Future of Carbon Pricing: Implementing an independent carbon tax with dividends in the UK

The launch of our new report The Future of Carbon Pricing: Implementing an independent carbon tax with dividends in the UK.

Opening speeches by:

• Rt Hon Lord Darling of Roulanish, Former Chancellor of the Exchequer
• Ted Halstead, Founder and CEO, Climate Leadership Council
• Rt Hon Lord Howard of Lympne CH QC, Former Leader of the Conservative Party and Former Secretary of State for Environment

Followed by a panel discussion, including:

• Alyssa Gilbert, Director of Policy and Translation, Grantham Institute for Climate Change and the Environment
• Professor Michael Grubb, Professor of Energy and Climate Change, University College London

Overview

One of the many uncertainties facing the UK as we leave the EU is the system of carbon pricing ministers will implement post-Brexit. Energy Minister Claire Perry has committed to some form of carbon pricing post-Brexit, but if we choose to leave the EU’s system what are the other options? Staying in the EU Emissions Trading Scheme has not entirely been ruled out, but may end up being unpalatable to the Government due to the wider political compromises that may entail. Another option is an independent carbon tax.

In a new report, Policy Exchange outlines a strategy for an independent UK carbon tax. It includes a plan for the implementation of border carbon adjustments, to ensure that we can raise our own carbon price without businesses offshoring their emissions, as well policies to recycle the revenue of rising and expanding carbon taxation directly to the voters to ensure continued cross-party political support in the fight against climate change.