Kemi Badenoch MP: Climate-Related Speeches In Parliament

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Kemi Badenoch's Speeches In Parliament Related to Climate

We've found 38 Parliamentary debates in which Kemi Badenoch has spoken about climate-related matters.

Here are the relevant sections of their speeches.

• 2 May 2024: Oral Answers to Questions

  Yes, my right hon. Friend is quite right: our exports need to be about the future, not just about the traditional industries, such as Scottish whisky, which are the pride of Scotland and of the UK. Electric vehicles are one way that we will hit our net zero target, and this is an area that the Department for Energy Security and Net Zero is focused on and that I support in Business and Trade. If there is anything specific that we can look into for his constituency, we would be very happy to help.

  [Source]

• 7 Mar 2024: Oral Answers to Questions

  As ever, my hon. Friend is a great advocate for his Cleethorpes constituency. He is right that Immingham is the No. 1 port in terms of tonnage and is vital to our trade with the EU and the rest of the world. If our diaries allow, I or one of my Ministers will be delighted to visit and see at first hand the vital role Immingham plays in the transition to renewable energy.

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• 7 Mar 2024: Topical Questions

  I am disappointed that the hon. Gentleman feels that we have not been investing as much as we should. What we have done in Port Talbot is the biggest investment that Government has ever made in steel. We are turning Port Talbot around; it is going to be regenerated. We are replacing high carbon emitting blast furnaces with electric arc furnaces to help reduce emissions, which his party and all of us across the House signed up to when we made the commitment to net zero. He may have specific things he thinks we can do on the transition, so I can tell him that we have a transition board to help those whose jobs are not going to be there with electric arc furnaces. However, we have done a significant amount for Port Talbot.

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  On the hon. Member’s second point, carbon leakage is a global problem facing all countries that are ambitious in tackling climate change, and we are working with international partners on how we tackle it together. We are following developments on the EU CBAM closely, and we are engaging with the European Commission to discuss technical considerations relevant to UK manufacturers. We share its concerns on carbon leakage, but we need to make sure that the UK response, whatever it is, is tailored to what the UK needs, not just a copying and pasting of what others are doing.

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• 29 Jan 2024: Trade (Comprehensive and Progressive Agreement for Trans-Pacific Partnership) Bill [Lords]

  18:08

  I welcome our accession to CPTPP, which I think will be of great national benefit, but understandably Members across the House will look to businesses in their constituency. The Secretary of State is well aware that many businesses in my constituency in the Humber region are focused on the energy sector, particularly renewable energy. Does she see any great advantages for them?

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• 25 Jan 2024: Topical Questions

  It is really important for us to not misrepresent what is happening on steel. Our steel industry is not disappearing; our steel industry is evolving. We will continue to have significant steelmaking capability in the UK, including producing materials for the industries the hon. Lady talks about. But we should also remember that the changes to Port Talbot are part of the decarbonisation that all Opposition Members have been asking for. This is the biggest single emitter of carbon in the UK and this House voted to reach net zero by 2050. Everything we are doing is to ensure that we do that in a sustainable and sensible way.

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• 8 Jan 2024: Electric Vehicle Rules of Origin: Extension

  The agreement avoided a cliff edge which could have seen consumers and manufacturers in the UK and EU hit with £2 billion to £4 billion-worth of tariffs—on average over £3,000 per car—and it safeguards the position of UK manufactures as they transition to net zero, protecting thousands of British jobs. This is a pragmatic change which will help economic growth, UK consumers, and the environment; it recognises the disruption caused by the covid-19 pandemic, global supply chain pinchpoints and Russia’s illegal invasion of Ukraine.

  This Government are determined to ensure the UK remains one of the best locations in the world to build zero-emission vehicles, and we have taken action accordingly. At the autumn statement, as part of the advanced manufacturing plan, we announced over £2 billion in capital and R&D investment for the automotive sector to support the manufacturing and development of zero-emission vehicles, batteries and supply chain—building on existing support.

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• 27 Nov 2023: Advanced Manufacturing Plan and UK Battery Strategy

  As outlined at autumn statement and in the Advanced Manufacturing Plan, committing £2 billion of capital and R&D funding for zero emission vehicles, batteries and their supply chains to 2030, building on the work of the Automotive Transformation Fund and the Advanced Propulsion Centre.

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• 14 Sep 2023: Oral Answers to Questions

  That is an excellent question, because it raises something fundamental. The transition to net zero will change the nature of the UK supply chain and, as I said earlier this week, China poses a systemic challenge here. The path to net zero creates a risk of even greater reliance on China, especially when it comes to the battery manufacturing needed for zero emission vehicles. We cannot be naive about that. That is why I am working hard to ensure not only that business competitiveness is at the heart of our transition, but that British national interests come first. We cannot depend on a single country. We must protect our national security, so we are working with like-minded allies. My hon. Friend the Minister for Industry and Economic Security has spoken about our critical minerals strategy and we are working to diversify and build those supply chains. That is what the Atlantic declaration, which I mentioned earlier, is also about. We are very aware of this point, but I think it is important to reinforce it.

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• 19 Jul 2023: Departmental Update

  The new gigafactory will create up to 4,000 highly skilled direct jobs and thousands of further jobs in the wider supply chain for battery materials and critical raw minerals, helping to grow the economy and moving the UK forward in the race to net zero.

  The Government have engaged closely with Tata to demonstrate our commitment and support for this investment. The decision to build in the UK is a testament to this strong relationship and the new gigafactory secures a great future for our automotive sector, while supporting Tata’s ambitions to be a leader in zero emission vehicles.

  The automotive industry is a vital part of the UK economy, and it is integral to delivering on levelling up, net zero and helping to drive economic growth. The Government are committed to making the UK one of the best places in the world for automotive investment, evidenced by the automotive transformation fund, the British industry supercharger scheme and our strong programme of support for research and development.

  We are working alongside industry to unlock private investment in our EV supply chain and have long-standing and comprehensive programmes of support for the automotive sector including the automotive transformation fund, the Advanced Propulsion Centre and the Faraday battery challenge. The automotive transformation fund was instrumental in securing this investment and supports the development of a high-value end-to-end electrified automotive supply chain and is enabling a UK-made transition to net zero.

  The UK has a proud automotive heritage. Today’s investment is a major vote of confidence in its bright future too. I look forward to continuing to work closely with the automotive sector to ensure that we take the necessary steps to put the UK at the forefront in the transition to zero emission vehicles.

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• 29 Jun 2023: Oral Answers to Questions

  Far be it from me to stop our noble Friends in the other place from doing what they think is right. None the less, I do agree with the hon. Gentleman. My view is, let a thousand flowers bloom. Hydrogen is one of the viable ways of helping us to get to net zero, and the Government are looking at all possible options to make sure that we support the cutting-edge technology that will get us to our green transition.

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• 26 Jun 2023: Full Repayment of HM Government loan by Celsa Steel UK

  In 2020, Celsa Steel UK met all the necessary requirements to access such support, including as a key supplier to the construction industry. The Government agreed to provide support to the company, including with legally binding contractual conditions on employment, climate change, tax obligations, and corporate governance.

  We have taken wide-ranging actions to support our UK steel industry more broadly. The British industry supercharger, announced in February 2023, will bring energy costs for energy-intensive industries, including steel companies like Celsa, in line with the world’s major economies. Industrial sectors, including steel, have been able to bid into several Government competitive funds to support energy efficiency and decarbonisation. We have updated the steel procurement policy note to create a level playing field for UK steel producers, and we have implemented a robust trade remedies framework to protect domestic industry as well as acting to resolve market access constraints on steel trade with the US and the EU.

  I wish to praise the commitment of Celsa’s workforce and management who have transformed the company’s performance since the 2020 crisis. Our focus is now on working with all steel producers, and the wider steel sector, to ensure they continue to deliver high-quality employment and climate change action for the UK.

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• 18 May 2023: Steel Industry

  I visited the Port Talbot steelworks, and no one there is talking about Labour’s plan; they are talking about what the Government have been doing, and they have been grateful for the support we have provided. It is misleading to call that “historic” when we have been showing continued support for the steel sector. The Government continue to provide that significant financial support, and the steel industry has been able to bid into Government funds worth more than £1 billion to support energy efficiency and decarbonisation.

  [Source]

  I thank my hon. Friend for her question and for accompanying me on my visit to British Steel last week. We are moving quickly to deliver the supercharger policy. It will reduce energy costs to energy intensive industries, including steel, by around £20 per megawatt hour. She mentioned speed, and we will consult on the capacity market exemption shortly. We intend to bring forward secondary legislation on all three measures around renewable energy obligations and capacity market costs. I will do everything I can to ensure that businesses get the support they need as quickly as they can.

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• 15 May 2023: Switzerland Trade Negotiations Launch

  The UK and Switzerland’s shared values also provide potential for greater co-operation in areas of mutual interest that trade can support, such as innovative research and development, and on our shared ambitions for tackling climate change. Negotiations provide an opportunity for both sides to defend free trade and showcase the best of European co-operation, demonstrating what two like-minded European nations can achieve outside of the European Union.

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• 23 Mar 2023: Trade: Indo-Pacific

  I thank my hon. Friend for her question. We have increased the tempo of trade missions in Cambodia, and we are actively supporting British companies to expand operations in the education, infrastructure and sustainable energy sectors. In May 2022 the Department appointed a new export support service trade officer to help British companies, including those in her constituency, that wish to export to Laos. It is also eligible for preferential treatment under the developing countries trading scheme. Both initiatives will help boost the UK’s trade with Laos, and I look forward to working with my hon. Friend on improving relations with that country.

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• 15 Dec 2022: Inward Investment

  In the last financial year, DIT supported foreign direct investments generating over £7 billion-worth of economic impact to the UK economy and creating nearly 73,000 new jobs, of which 34,000 were outside London and the south-east, contributing to our levelling-up agenda. In 2021-22, we supported 91 inward investment projects aligned with the 10-point plan into the UK, which delivered £13 billion of green investment. In October, as part of the Green Trade & Investment Expo, I visited the Offshore Renewable Energy Catapult in Blyth—an excellent example of our British low-carbon sectors.

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• 3 Nov 2022: Energy Sector: Trade Opportunities

  The Government’s export strategy sets out how we aim to capture up to £170 billion of export sales estimated for 2030 in low-carbon sectors. At the green trade and investment expo earlier this week, we showcased the best renewable energy technologies and innovations that the UK has to offer. Over the last year, the Department for International Trade has supported £5 billion-worth of exports across energy and infrastructure sectors.

  [Source]

  I thank the hon. Lady for her question. She should know that the Intergovernmental Panel on Climate Change believes that those projects are consistent with our transition to net zero. She will know that gas is a transition fuel, so it is not possible for us to get to net zero by cutting off gas completely. We need to ensure that the explorations that are taking place are in line with our strategy; I believe that they are. Responsibility for the energy charter treaty lies with BEIS, but we lead on investment provisions and investor-state dispute settlements. We continue to see it as having an important role in these policies and the UK’s trade policy.

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• 12 May 2022: Fairness at Work and Power in Communities

  16:23

  The other thing Opposition Members say is that we have done absolutely nothing for the last 12 years. Just to remind them, in the last three years alone we have tackled the greatest public health emergency in a generation, delivered a historic funding boost to the NHS, ended the cruel lottery of social care costs with our £36 billion health and social care plan, led the world in the fight against climate change with our COP26 presidency, and tackled crime, closing over 1,500 county lines. We have delivered for the whole of the United Kingdom, securing vaccines for all four nations and agreeing the largest funding settlements since devolution.

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• 27 Apr 2022: Cotswold District Council: Solar Farms

  21:12

  My hon. Friend is a tireless campaigner on behalf of his constituents and I applaud him for bringing the issue to the House today for discussion. First, he asked whether the borrowing in question was within the lending rules of the Public Works Loan Board. Under Public Works Loan Board guidance, a project for service delivery includes education, highways and transport, social care, public health, culture, environmental and regulatory services; police, fire and rescue; and central services. I can confirm that projects related to climate change are included in that.

  On my hon Friend’s points about the scale of the borrowing that Cotswold District Council intends to do in comparison with its annual income, it goes without saying that disproportionate levels of debt expose councils to financial risk. It is not just the size of the debt that can create issues; some authorities invest in novel activities outside their areas of experience or expertise, which can lead to financial loss when the investment is mismanaged. My hon. Friend will remember what happened with Robin Hood Energy, Bristol Energy and Together Energy. While councils are sometimes very well meaning in trying to tackle important issues such as achieving net zero, we cannot forget that the energy market can be volatile, and councils need to be sure that they are getting the right advice when proceeding with such investments.

  That is not to say that local authorities should not undertake borrowing. I want to make it clear that the Government recognise that commercial investments can be necessary and appropriate when made sensibly. Sensible investment can play an important role in helping us to power forward on issues that are central to the Government’s agenda, be they levelling up, net zero or building the homes that the country needs.

  I can confirm that my hon. Friend is correct on the first point. The council cannot invest purely for profit, but because its investment has a net zero element, it would qualify under the guidance. However, it remains to be seen exactly how the proposal will manifest itself. I cannot confirm the second point at the Dispatch Box, but I will get officials to write to him formally with a comprehensive answer. He is absolutely right to raise the point that there is guidance out there that should ensure that councils invest prudently.

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• 25 Feb 2022: Housing Disrepair

  14:48

  We will also address poor energy efficiency by targeting retrofit funding at the worst performing homes and those least able to pay. The £2.2 billion funding through the home upgrade grant, social housing decarbonisation fund and boiler upgrade scheme will help to improve energy efficiency and lower energy bills. The future homes standard and future building standards will also ensure that new homes and buildings reach much higher energy efficiency standards. Through the Building Safety Bill, we will also legislate for the new homes ombudsman to support the purchases of new build homes when things go wrong.

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• 24 Feb 2022: Christians and Religious Minorities: India

  16:13

  I can update those Members who raised the UK-India trade relationship. We recently launched negotiations for a comprehensive UK-India free trade agreement, which would particularly benefit the north of England, the west midlands, Wales, Scotland and Northern Ireland. We will work with India to support its COP26 commitments, including through a $1 billion green guarantee and British international investment partnership. Oxford University, AstraZeneca and the Serum Institute of India are enabling the world to navigate its way out of the pandemic with their collaboration to produce covid-19 vaccines at scale.

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• 12 Jan 2022: Oral Answers to Questions

  Kerry Mackay is inspirational and I congratulate her and all her colleagues at ScrubbiesUK. She is an exemplar for small businesses, leading the way to help the UK tackle plastic pollution and reach our climate goals. I am glad to hear that she benefited from Government mentoring support, and I will ask the relevant Business Minister to write to my hon. Friend with more details. In the meantime, I hope that people like Kerry Mackay will raise awareness of this opportunity through their own networks, which is often the most effective way to spread the word.

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• 25 Oct 2021: Oral Answers to Questions

  I apologise to the hon. Lady, but I am not sure, given her reference to COP26, what sort of answer she is expecting. I can ensure that she gets a letter providing further information.

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• 15 Sep 2021: Levelling-up Agenda

  17:34

  The hon. Member for Barnsley Central said that it is about not words, but action, so I hope he will be happy for me to summarise briefly what the Government have done and what we intend to do. Opposition Members complain that we are not investing enough, but the fact is that last year’s spending review announced record investment in infrastructure with all the benefits that will bring. This year’s review, which will conclude on 27 October, will build on that progress. It will focus on strong, innovative public services, a transition to net zero and delivering our plan for growth. To emphasise the quantum of money, core departmental spending is set to grow in real terms at nearly 4% per year on average over this Parliament. That means, in 2024-25, £140 billion more per year in cash terms than at the start of the Parliament, so it simply is not true that we are not investing.

  Building infrastructure is also essential, and we have launched a number of schemes, such as the towns fund. The hon. Member for Barnsley Central mentioned the UK Infrastructure Bank and said that it is all very well that we have it, but it is a critical thing. It is up and running and planning its first investment. Crucially, it will partner with the private sector and local government to kick-start major infrastructure projects, contributing not just to levelling up but to achieving net zero. A third of its initial £12 billion in funding is specifically earmarked for local and mayoral authorities, just like his. The expectation is that these investments will also spark a crowd-in effect, with private backers keen, themselves, to invest in the kind of infrastructure we need. The Government cannot do everything. We need the private sector to take part in this. I did not hear the hon. Member for Barnsley Central mention the private sector in his speech, and I hope that he might do so in his closing remarks. The private sector is crucial in delivering levelling up, and I am very happy to meet him and speak to him about what it can do. It cannot be just Government.

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• 7 Sep 2021: Net Zero Emissions and Green Investment

  The Prime Minister’s 10-point plan demonstrates our commitment to net zero. It sets out £12 billion of new Government investment in green industries. This will create and support up to 250,000 highly skilled green jobs in the UK. In addition to this £12 billion, our plan will attract up to three times as much private investment by providing regulatory certainty and robust green finance frameworks.

  [Source]

  I am afraid I do not think that is what the report has said. What I will say is that we will be releasing many publications this autumn around net zero, not least the net zero review. This final report will be published in advance of COP26. The report will inform sectoral decarbonisation strategies and the net zero strategy, and work on those will continue to develop at pace across Whitehall.

  [Source]

  I will ask my counterparts in the Foreign, Commonwealth and Development Office to answer the hon. Lady’s question directly—they are responsible for aid. What I will tell her is that there is a lot of stuff we are doing within our remit on international climate finance action, not least on the taskforce on nature-related financial disclosures.

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  The Government have used the Green Book to mandate that policies must be developed and assessed against how well they deliver on our long-term policy aims, including net zero. We did that at spending review 2020, where guidance required Departments to include the greenhouse emissions of bids and their impact on meeting carbon budgets and net zero, and allocations to Departments were informed by that information. That is how we will continue to carry out consideration of climate impacts in fiscal policy.

  [Source]

  I thank my hon. Friend for that question. The Government recognise the important role of financial markets in supporting the UK’s transition to a net zero economy. The British Business Bank is a Government-owned economic development bank that makes finance markets for smaller businesses work more effectively, and its remit includes venture capital. I note her point about a meeting and believe that my hon. Friend the Economic Secretary is happy to meet her on this issue.

  [Source]

  As I said, the report will be published in advance of COP26, but we have published other things that the hon. Member does not seem to have heard of or read. We have set out ambitious plans about the net zero target and published the energy White Paper, the industrial decarbonisation strategy, the transport decarbonisation plan, which has not happened anywhere else in the world—we are the first country to do a transport decarbonisation plan—and a hydrogen strategy. We will publish the heat and building strategy in due course. The Government have been busy setting out plans on net zero, and we would appreciate it if Opposition parties took some time to read them.

  [Source]

  We will put affordability and fairness at the heart of our reforms to reach net zero. Our latest estimates put the costs of net zero at under 2% of GDP—broadly similar to when we legislated for it two years ago—with scope for costs of low-carbon technologies to fall faster than expected. Most of those represent increased investment in growth markets of the future. However, I take my hon. Friend’s point. All I would say is that he should wait until the net zero review is published.

  [Source]

  I thank the hon. Lady for that question. We recognise that this is an issue under intense speculation. We will publish a strategy that will set out many of the answers to the questions she is posing. What we have said is that we will put affordability and fairness at the heart of our reforms to reach net zero. The fact is that everyone in this House agreed with us when we set that target. For example, we have put in place plans to bring in electric vehicles by 2030. These will require changes not just in how we spend, but in our tax and regulatory system. The answers will come in due course.

  [Source]

  I will tell the hon. Lady what the Treasury is doing. We are issuing £15 billion of green bonds over the next year, and launching a world-first green savings bond ahead of COP26 to help finance the Government’s green projects. We set up the UK Infrastructure Bank to invest in net zero, backed by £12 billion of capital, which will also help to unlock more than £40 billion of overall investment in infrastructure. We are committing £11.6 billion in international climate finance over the next five years to help developing countries tackle climate change. The Budget also announced three UK-wide competitions that are part of the £1 billion net zero innovation portfolio. We have the towns deal, which is helping people create new green spaces, build back greener, create sustainable transport routes and repurpose empty shops. The fact is that the Treasury is doing everything it can to support the transition to net zero.

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• 7 Sep 2021: Oral Answers to Questions

  We support the UK oil and gas sector, especially as gas is a transition fuel to net zero. The sector supports 147,000 jobs directly in its supply chains. I take the point that the hon. Gentleman raises; if he would like to write to me with more detail, I think I will be able to give him more comprehensive answers.

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• 14 Jun 2021: The Economics of Biodiversity: The Dasgupta Review

  The response sets out the ways in which the Government are already making significant progress towards delivering that future, for example, in England, re-orienting agricultural support to improve the environment, animal health and welfare, and reduce carbon emissions. The Government have also committed to spend at least £3 billion of the UK’s international climate finance on nature and biodiversity over five years, and have set out a 10-point plan for a green industrial revolution which will mobilise £12 billion of Government investment to create and support up to 250,000 highly skilled green jobs across the UK.

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• 27 Apr 2021: UK Steel: Government Infrastructure Projects

  I reassure the hon. Gentleman that that is something that we are doing. As I mentioned in my earlier answer, we have already spent £500 million across the sector specifically to deal with that point. Further, we are taking a number of steps to support the decarbonisation of the UK steel industry. For example, we announced the £250 million clean steel fund to support the decarbonisation of the steel sector, including its transition to new low-carbon technologies and processes.

  [Source]

  I thank the hon. Lady for her question. I mentioned in my answer to the hon. Member for Aberavon (Stephen Kinnock) the steps that we are taking to decarbonise the UK steel industry. As I said, there are global challenges in the industry and we have been supporting various companies. For example, last year, we provided a £30 million loan to Celsa, safeguarding a key supplier to the UK construction industry and securing more than 1,000 jobs, including more than 800 positions at the company’s main sites in south Wales. The Government will continue working with businesses to understand the issues that they are facing, including continuing to engage business sectors that are affected by covid and our changing relationship with the EU.

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• 27 Apr 2021: Steel Industry and Green Manufacturing Jobs

  The Government have supported the steel sector extensively, including providing over £500 million in recent years to help with the costs of energy. At the summer economic update, the Government announced an ambitious £3.05 billion package for housing decarbonisation designed to cut carbon, save people money and create jobs. Alongside that, our covid support package is still available to the sector to protect jobs and ensure that producers have the right support during this challenging time.

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• 14 Apr 2021: Draft Recognised Auction Platforms (Amendment and Miscellaneous Provisions) Regulations 2021 Draft G...

  14:44

  I thank the hon. Lady for her contribution to the debate and for the Opposition’s broad support for carbon pricing and the draft instruments. She asked whether we are still interested in linking the UK ETS to the EU ETS. The UK is open to linking the UK ETS internationally in principle. We are considering a range of options, but no decisions on preferred linking partners have yet been made. We are already looking to innovate and create schemes suited to the UK and our climate commitments. We have started by reducing the cap on emissions by 5% compared with what it would have been within the EU, and we will set out further plans ahead of COP26. Having our own scheme means that we can be flexible, now that we are a sovereign nation, and can go further and faster than the EU.

  Regarding which option we took, whether a stand-alone UK ETS, a carbon emissions tax and so on, the Government carefully considered the important economic and environmental aspects of each policy ahead of making a decision for a UK ETS. That included the certainty of carbon price, simplicity of the policy and the cost to business. On balance, however, the Government felt that the UK ETS—with a cap on emissions, which we will consult on to enable it to align with net zero, and the continuity it offers participants—offers a better basis for businesses to decarbonise. It is right that, at the moment of leaving the EU, we took the time to prepare properly and consider both a UK ETS and a carbon tax, given that the chosen mechanism will be crucial to meeting our climate ambitions over the coming decades. Preparations for a carbon emissions tax were already advanced due to the contingency planning that took place for the scenario whereby the UK left the EU without a deal and thereby ceased to participate in the EU ETS. As such, additional costs to develop this option further were minimal. I remind the hon. Lady that payment will not be due until April 2022, so I do not accept the assertion that businesses have been left with uncertainty; we have actually given them quite a lot of time to prepare for changes.

  The draft Recognised Auction Platforms (Amendment and Miscellaneous Provisions) Regulations 2021, laid under the European Union (Withdrawal) Act 2018, will make amendments to financial services law to provide for the safe and effective operation of the UK emissions allowances market, as part of the UK ETS. The draft Greenhouse Gas Emissions Trading Scheme Auctioning Regulations 2021, laid under the Finance Act 2020, will provide for the auctioning of emissions allowances under the UK ETS. It will also introduce mechanisms to support market stability in the new scheme. Together, these two instruments will ensure the integrity of the market that will underpin our carbon pricing goals and are vital to ensuring that the UK ETS can function as planned.

  I thank the hon. Lady for her contribution, and I greatly appreciate the support that has been shown for the draft instruments, which will ensure that the UK has a domestic carbon pricing policy that is fit for the net zero future we have committed to.

  Draft Greenhouse Gas Emissions Trading Scheme Auctioning Regulations 2021

  That the Committee has considered the draft Greenhouse Gas Emissions Trading Scheme Auctioning Regulations 2021. —(Kemi Badenoch.)

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• 13 Apr 2021: Finance (No. 2) Bill

  20:17

  The Bill improves tax transparency by paving the way for the UK to implement the OECD’s international reporting rules for digital platforms, stops tax cheats by strengthening our existing anti-avoidance regimes and tightening the rules designed to tackle promoters and enablers of tax avoidance schemes, and provides even more certainty to taxpayers by setting out a more consistent, fairer penalty regime across VAT and income tax self-assessment. In addition, it will help to deliver a low-carbon future, as highlighted by my hon. Friends the Members for Arundel and South Downs (Andrew Griffith) and for Stoke-on-Trent Central (Jo Gideon) and the hon. Member for Ceredigion (Ben Lake), with the introduction of a plastic packaging tax and by removing most sectors’ entitlement to use red diesel from April next year. I know that my hon. Friend the Member for St Austell and Newquay (Steve Double) raised concerns about the policy. I will ensure that officials continue to engage with the sector, and he should receive a letter from me shortly. We recognise that it will be a big change for some businesses. They have another year before changes take effect, and we are doubling the funding provided for energy innovation through the new £1 billion net zero innovation portfolio, which will support the development of alternatives that businesses can switch to.

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• 2 Feb 2021: Publication of “The Economics of Biodiversity: The Dasgupta Review”

  At the start of an important year for global action to tackle biodiversity loss and climate change, the Government thanks Professor Sir Partha Dasgupta for his independent review and welcomes its publication as a strong example of UK thought leadership on an important environmental issue with clear—but often overlooked—economic consequences. The Government will examine the review’s findings and respond formally in due course.

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• 1 Dec 2020: Oral Answers to Questions

  The Chancellor’s announcement at the spending review will help us meet our net zero 2050 target by providing the right incentives for individuals and businesses. The spending review commits £12 billion of public investment, kick-starting our transition to net zero and boosting the UK’s global leadership on green infrastructure and technologies ahead of COP26 next year. It also included funding that will encourage protection of the natural environment, including for planting trees, restoring peatland, creating natural habitats and investing in national parks.

  [Source]

  The hon. Gentleman asks an interesting question and I believe we are getting on with it. The Prime Minister’s 10-point plan, announced just two weeks ago, outlines quite a lot of that. If the hon. Gentleman is talking about the costs, he should look at the announcement we made about the net zero interim review, which will be coming out before the end of the year. That will look at the options for a balance of contributions between households, businesses and the taxpayer, and how to maximise economic growth opportunities from the transition to net zero.

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• 11 Nov 2020: North of England: Economic Support

  10:44

  My hon. Friend the Member for Barrow and Furness (Simon Fell) spoke about investment, and I would like to give a brief recap of our infrastructure investment so far. Over the next five years, we are going to plough more than £600 billion into capital spending. That means new roads, new railways, hospitals and schools. We have brought forward £8.6 billion of this to support activity in the near term—plans that the International Monetary Fund said will address productivity, climate goals and regional inequality, which my hon. Friend is rightly concerned about.

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• 14 Oct 2020: Productivity: Rural Areas

  17:31

  I have already made the point about rural communities generating crucial economic capital. They are also home to much of our natural capital, which has not been mentioned so much in this debate. We want more private investment in that natural capital, which will in turn create jobs and support our world-leading target of reaching net zero by 2050.

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• 15 Sep 2020: Energy-Efficient Homes: Support

  The Government recognise the importance of energy efficiency in achieving our climate change objectives and tackling fuel poverty. That is why in July my right hon. Friend the Chancellor announced over £2 billion of new funding to upgrade homes through the green homes grant scheme. In addition, we have a range of policies in place to support home energy efficiency improvements.

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• 7 Jul 2020: Investment and Economic Growth: Northern Lincolnshire

  My hon. Friend rightly champions the strength of his local area as we move to restart the economy and make progress to achieve net zero carbon emissions by 2050. Our renewable energy ambitions will continue to create opportunities at manufacturing centres, such as the Able marine energy park proposal, but I encourage him first to engage with my colleagues from the Department for Business, Energy and Industrial Strategy, as the lead Department on energy and industrial strategy.

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• 16 Jun 2020: Finance Bill (Seventh sitting)

  10:45

  I think that is a point we can all agree on. The Government are doing a lot to encourage the uptake of low emission and zero emission vehicles. As I mentioned earlier, the reformed VED system was introduced in 2017 for new cars. To elaborate, on first registration the owners of zero emission models pay nothing, while those of the most polluting pay more than £2,000. In subsequent years, most cars move to a standard rate, which is currently set at £145. The exceptions are electric cars, which attract a zero rate, and hybrids, which receive a £10 discount.

  In the Budget, the Government announced a number of further steps to reduce zero emission vehicle costs, including exempting zero emission cars from the vehicle excise duty expensive car supplement; extending low company car tax rates for 2024-25, as we discussed earlier; and extending the plug-in grant scheme for zero emission cars and ultra-low emission vans, taxis and motorcycles until 2022-22.

  Applicable CO2 emissions figure determined using WLTP values

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  11:00

  Clause 83 makes changes to exempt all zero-emission cars from the vehicle excise duty supplement that applies to cars with a list price exceeding £40,000 from 1 April 2020. The background is that the Government use vehicle taxes, including vehicle excise duty, to encourage the take-up of cars with low carbon dioxide emissions to help to meet our legally binding climate change targets. Vehicle excise duty incentives help to reduce the cost of zero-emission cars, which is one of the most significant barriers to uptake. From April 2017, on first registration, zero-emission cars paid no vehicle excise duty, while the most polluting cars paid more than £2,000. In subsequent years, while most cars move to a standard rate—£150 in 2020-21—electric vehicles attract a zero rate. Previously, however, all vehicles with a list price exceeding £40,000, including electric vehicles, paid a vehicle excise duty supplement of £325 in 2020-21 from years two to six following registration.

  Under the changes made by clause 83, from 1 April 2020, all zero-emission light passenger vehicles registered from 1 April 2017 until 31 March 2025 will be exempt from the vehicle excise duty expensive car supplement. That will reduce vehicle excise duty liability for almost a third of zero-emission cars by an estimated £1,625. This demonstrates that the Government will continue to incentivise the uptake of zero-emission cars through the 2020s. The measure will incentivise uptake by reducing tax liabilities and aid the Government in achieving net zero. I therefore commend the clause to the Committee.

  On the question of what more we can do, the best mechanism is the call for evidence that the Government published at the Budget, which includes how vehicle excise duty can further incentivise the uptake of zero-emission cars. That is probably the best way for the industry and Parliament to suggest what more we can do to make low emission vehicles more affordable.

  From September 2019, EU regulatory changes have required motorhomes to record carbon dioxide emissions on the vehicle type approval document. Previously, the majority of motorhomes attracted a flat rate of £265, but from September 2019, due to their high emissions, new motorhomes saw a significant increase in their first-year vehicle excise duty liabilities. Motorhome dealerships and the main industry body, the National Caravan Council, expressed concern about the changes. The sector argued that, as motorhomes are generally derived from vans, their VED liability should be aligned with vans, rather than passenger vehicles.

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• 18 May 2020: Oral Answers to Questions

  My hon. Friend is right that hydrogen could play an important role in our transition to net zero, which is why we are investing up to £121 million to support a range of projects to explore and develop the potential of low-carbon hydrogen technology.

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