The Aldersgate Group have welcomed a new report by LSE on how UK carbon policies affect the competitiveness of businesses. It finds that arguments in favour of revising the Fourth Carbon Budget, based on concerns about competitiveness, are not supported by the evidence. Existing data suggest that the impact of current policies is small or negligible, dwarfed by a range of other economic factors.
Andrew Raingold, Executive Director of the Aldersgate Group, said: "LSE's comprehensive analysis of carbon policies supports the mainstream view of British business that current UK carbon policies do not have a major negative impact on competitiveness. It also demonstrates the beneficial impact of smart environmental policies on potential growth and productivity performance of the UK’s economy as a whole relative to other trading partners. This provides yet more evidence to the call from business leaders for Government to accept the 4th carbon budget without any further delay or uncertainty."