Chancellor to scrap Carbon Reduction Commitment

by Rachael Singh

More from this author

03 Dec 2012

  • Comments
Deutsche Bank solar panels in New York

THE CHANCELLOR is likely to replace a controversial environmental tax and reporting system with something less complex.

George Osborne said he would either revise or scrap the Carbon Reduction Commitment (CRC), an energy-related tax on all companies that pay more than £500,000 on their energy bills, The Financial Times reports.

It is thought the chancellor wants to introduce a system that is less complicated, confusing and costly for companies to operate. It is estimated by the government that industry currently coughs up about £97m of bureaucratic costs when participating in the scheme.

Organisations entered into the CRC scheme, estimated to be more than 5,000, must report and pay in advance for their carbon emissions related to energy. When the scheme was first created by the Labour party, the money paid into it was destined to be recycled into the scheme to pay for its operation and to offer a rebate for the organisations which had made the best improvement.

However, in 2010 the Conservatives decided to add the revenues to the public coiffeurs, essentially creating a green tax on the largest organisations in the country.

Visitor comments

blog comments powered by Disqus

Add your comment

We won't publish your address

By submitting a comment you agree to abide by our Terms & Conditions

Your comment will be moderated before publication



Financial Planner

The Ministry of Defence Surgeon General’s (SG) Finance Department, Lichfield, Staffordshire, Permanent, Full Time, £ £30,008




Get the latest financial news sent directly to your inbox

  • Best Practice
  • Business
  • Daily Newsletter
  • Essentials


Search for jobs
Click to search our database of all the latest accountancy roles

Create a profile
Click to set up your profile and let the best recruiters find you

Jobs by email
Sign up to receive regular updates with the latest roles suitable for you



Why budgeting fails: One management system is not enough

If budgeting is to have any value at all, it needs a radical overhaul. In today's dynamic marketplace, budgeting can no longer serve as a company's only management system; it must integrate with and support dedicated strategy management systems, process improvement systems, and the like. In this paper, Professor Peter Horvath and Dr Ralf Sauter present what's wrong with the current approach to budgeting and how to fix it.


iXBRL: Taking stock. Looking forward

In this white paper CCH provide checklists to help accountants and finance professionals both in practice and in business examine these issues and make plans. Also includes a case study of a large commercial organisation working through the first year of mandatory iXBRL filing.