Prime Minister Boris Johnson has today set out his ten point plan for a green industrial revolution which, according to the government, will create and support up to 250,000 British jobs.
Covering clean energy, transport, nature and innovative technologies, the Prime Minister’s blueprint aims to help the UK’s aim to eradicate its contribution to climate change by 2050, particularly crucial in the run up to the COP26 climate summit in Glasgow next year.
Randeep Somel, manager of the M&G Climate Solutions Fund, comments on today’s UK government 10-point plan:
In today’s announcement, the UK government is seeking to stimulate the economy, go green and address regional inequality all in one plan. Governments globally have many challenges both pre and post the Covid-19 pandemic; regional inequality specifically in areas that were previous manufacturing hubs, economies in need of stimulus due to the pandemic slowdown, and also the obligation to meet internationally agreed climate goals.
The UK government is striking at the main sources of CO2 in our economies; power generation, transportation, and building efficiency. Not only will these investments help the UK in reaching its Paris Climate Deal commitments, they will provide stimulus to an economy that is still reeling from the Covid-19 pandemic. The government has specified areas of the UK for this investment that have been hit hard over the previous decades due to the dwindling manufacturing base. They have specifically targeting Wales, the Midlands, the North East and parts of Scotland – all areas that have unemployment rates higher than the national average.
The funding for nuclear energy and green hydrogen will also continue to support companies that are UK based but global leaders in these areas such as Rolls Royce (Derby) and ITM Power (Sheffield).
The UK has begun the process to address a myriad of challenges via its green industrial revolution announcement. While critics may say the £4 billion allocated so far by the government is too small, it is a strong statement of intent and one that is likely to spur private sector investment many multiples of the announced government figure.
To read more about the launch of the M&G Climate Solutions Fund, please click here.