Business welcomes Theresa May’s leadership on the climate agenda

20th September 2016

Reacting to Theresa May’s announcement at the United Nations General Assembly in New York that the UK would initiate domestic proceedings to ratify the Paris Agreement to tackle climate change, the Aldersgate Group welcomed the UK’s move to join the unprecedented momentum to formally ratify the agreement.

Nick Molho, executive director of the Aldersgate Group of businesses said: “Theresa May has shown welcome leadership on the world stage today by announcing the UK’s upcoming ratification of the Paris Agreement. Together with the government’s recent approval of the fifth carbon budget, this decision will help the UK maintain an influential role alongside other countries such as China and the United States in international efforts to tackle climate change and help the UK secure an important share of the growing global low carbon economy, which was recently valued at $5.5tn”[1]

He added: “To deliver on the Paris Agreement and the UK’s own climate targets, the government’s focus should now be to put together a national policy framework that will increase affordable private sector investment in low carbon technologies, accelerate their reduction in cost and grow the UK’s low carbon supply chain, which already employs over 238,000 people directly[2]. A detailed emissions reduction plan and an industrial strategy that supports low carbon investment will be critical in delivering these objectives.”

[1] According to a 2015 report by the Global Commission on the Economy and the Climate, the global market for low carbon goods and services was valued at $5.5tn in 2011-2012. 

[2] In 2014, 96,500 businesses in the UK operated in the low carbon and renewable energy (LCRE) economy, equivalent to 4.4% of all non-financial businesses. This activity generated £46.2bn turnover and employed 238,500 full-time equivalent (FTE) workers. These figures from the ONS are the final estimates of the direct low carbon and renewable energy economy in 2014. Estimates of indirect LCRE activity will be published later this year.