Green taxes should be ring fenced, say businesses

Green taxes raised should be ring fenced to help tackle climate change rather than used in general public finances.

Around 90% of business surveyed by Hacker Young said taxes raised through green initiatives should be channelled solely into dealing with climate change, instead of meeting a shortfall in public finances.

The firm had recently calculated that just 2% of green tax revenues went towards protecting the environment.

'Gordon Brown’s enthusiasm for reducing the UK’s carbon emissions is viewed with suspicion by many who think that green taxes are a very convenient way of plugging the widening gap in public finances under the façade of tackling climate change,' said UHY Hacker Young tax partner Roy Maugham.

Further reading:

Green performance objectives