17:23 Lisa Smart (Liberal Democrat)

There is also an important environmental angle. The UK has legally committed to net zero emissions by 2050, but our appraisal framework has not caught up. The Green Book still applies discount rates that undervalue the long-term benefits of green investment, making it harder to justify climate-friendly projects with slower financial returns. If we want a green economy, we need green tools, and right now, the Green Book is steering us away from the very infrastructure—whether that is renewable energy, public transport or nature restoration—that will power our net zero future. We need to realign our economic models with our environmental goals.

The 2020 review, undertaken by the last Government, was a missed opportunity. While it nodded to levelling up and net zero, it failed to make the structural changes that are needed. The think-tank Centre for Cities has argued that the Green Book should empower local leaders to choose the best projects for their regions, rather than leaving the Treasury to pick between places. I am interested to hear from the Minister what the thinking of this Government and the Treasury is on that.

[Source]