Overview

The Decarbonisation and Economic Strategy Bill aims to achieve net-zero carbon emissions in the UK by 2030 while simultaneously tackling inequality. It mandates a ten-year strategy prioritizing decarbonisation, fair transitions for workers in high-carbon industries, and improved social and economic well-being, establishing a Green New Deal Commission to oversee this process.

Description

The bill places a legal duty on the Secretary of State to meet both decarbonisation and economic equality objectives by 2030 and annually thereafter. The decarbonisation objective targets net-zero carbon emissions and habitat restoration. The economic equality objective aims to improve overall well-being and reduce income, wealth, and opportunity inequality.

Green New Deal Commission

A Green New Deal Commission will be established to create a ten-year strategy (the Green New Deal) to meet these objectives. The Commission will be comprised of 9-15 Commissioners appointed by the Secretary of State, subject to parliamentary approval and public consultation. It will report annually to Parliament on progress.

Policy Requirements

The Green New Deal must include policies promoting:

• Improved building energy efficiency and zero-carbon housing.
• Sustainable transport (walking, cycling, public transport).
• Net-zero energy generation and distribution.
• Sustainable farming practices (agroecology).
• Habitat restoration and biodiversity protection.
• Job creation with a living wage, skills training, and diverse business ownership models.
• Tax reforms to fund the transition, possibly including wealth taxes.
• International cooperation on decarbonisation and tackling inequality.

Government Spending

The bill states that any expenditure incurred by ministers or government departments under the Act, and any increases in spending under other Acts resulting from this Act, will be funded from money provided by Parliament. No specific figures are provided.

Groups Affected

• Government: The bill imposes significant new duties and responsibilities on various government departments, including the Treasury and the Bank of England.
• Businesses: Businesses in high-carbon sectors will face pressure to decarbonise, potentially impacting their operations and profitability. New opportunities may also arise in low-carbon sectors.
• Workers: Workers in high-carbon industries may experience job displacement but the bill aims to mitigate this through retraining and job creation in green sectors.
• Individuals: Individuals will be impacted by policy changes promoting sustainable practices (e.g., transport, energy consumption), but the bill aims to improve overall well-being and reduce inequality.
• Devolved Administrations: The bill requires consultation with devolved administrations in Scotland, Wales, and Northern Ireland.

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