Rishi Sunak to announce £ 15bn green gilding to boost renewable energy investment
Rishi Sunak is expected to announce plans to issue Â£ 15bn of green gilts in the next fiscal year to boost Britain’s transition to net zero and create green jobs across the country.
The Chancellor will use his first Mansion House speech on Thursday to outline the plans and pledge to make the UK the most “advanced and exciting” financial services center in the world.
The government has already committed to achieving zero net emissions by 2050.
“As the baton passes to a new generation of financial leaders, I feel optimistic for the future. Ambitious at home. Confident internationally,” he said.
“With a plan to make this country the most advanced and exciting financial services center in the world for decades to come, creating prosperity at home and projecting our values ââabroad.”
Mr. Sunak will announce his intention to require companies to report their environmental and climate impact.
The so-called integrated sustainability disclosure requirements will apply to businesses “across the economy,” the Treasury said.
Companies will also be required to disclose the risks and opportunities they face as a result of climate change.
In recent years, large companies have come under increasing pressure to respond to the climate crisis.
Oil giants BP and Shell have set targets they say will reduce their emissions to “net zero” by the middle of this century.
However, experts fear that companies will set their own goals and that their climate impact disclosures will be impossible to compare against each other.
They called for mandatory reporting, which would make it easier for investors to assess which companies are moving fastest in tackling climate change.
On Wednesday, the government also revealed details of a new green bond which it hopes can unlock some of the savings people collected during the pandemic.
The Treasury will aim to raise at least Â£ 15 billion through green bonds, using the money to invest in zero-emission buses, offshore wind turbines and efforts to decarbonize homes and buildings.
The bonds will also be used to fund climate change adaptation programs such as flood defenses or tree planting.
Additional reporting by the Press Association