Britain's green economy grew in 2023 to withstand a broader recession, according to a report on Tuesday that urged politicians to stick with climate-friendly investment ahead of a general election.
The U.K.'s “net-zero economy” – from electric cars to carbon capture to renewable energy such as solar and wind power – rose 9 percent year-on-year to 74 billion pounds ($94 billion), the study said the Energy and Climate Intelligence Unit think tank in collaboration with the business lobbyists CBI and the research group The Data City.
The entire UK economy slipped into recession in the last six months of 2023, according to official data.
“Against a backdrop of economic stagnation, the net zero economy bucks the trend,” said ECIU director Peter Chalkley.
“Thousands of jobs depend on net zero… across the country.”
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“The question now is whether political parties will provide the leadership, stability and investment needed to generate further growth, or will they shy away from the global race to net zero?” Chalkley polled.
The Conservative government's long-standing goal is to achieve net zero carbon emissions in the UK by 2050.
However, the Tories are widely predicted to lose power to the main opposition Labor party in a general election expected this year.
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Tuesday's report added that net zero businesses, supply chains and employee spending together accounted for 3.8 percent of the UK's GDP last year and supported hundreds of thousands of jobs.
“The UK’s transition to net zero brings huge opportunities for our economy,” said CBI chief economist Louise Hellem, calling for more sector investment in the government’s budget update next week.
“It is clear that action is needed to continue to grow our net-zero economy,” she said, calling on Britain’s finance minister Jeremy Hunt to set out a “net-zero investment plan” in his latest tax and spending plans.
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