Net Zero Review: Interim Report

Climate change is an existential threat to humanity. Without global action to limit greenhouse gas emissions, the climate will change catastrophically with almost unimaginable consequences for societies across the world. In recognition of the risks to the UK and other countries, the UK became, in 2019, the first major economy to implement a legally binding net zero target.
The UK has made significant progress in decarbonising its economy but needs to go much further to achieve net zero. This will be a collective effort, requiring changes from households, businesses and government. It will require substantial investment and significant changes to how people live their lives.
This transformation will also create opportunities for the UK economy. New industries and jobs will emerge as existing sectors decarbonise or give way to lowcarbon equivalents. The Ten Point Plan for a Green Industrial Revolution and Energy White Paper start to set out how the UK can make the most of these opportunities, with new investment in sectors like offshore wind and hydrogen.1 The transition will also have distributional and competitiveness impacts that the government will need to consider as it designs policy.
This interim report sets out the analysis so far from the Treasury’s Net Zero Review and seeks feedback on the approach ahead of the final report, due to be published next year.