Budget should have been greener and fairer22 June 2010
The Prime Minister promised to make this Government the "greenest ever" following the coalition's agreement that creating a low carbon economy was one of its key pillars.
But the budget is a disappointment because it made no real start on these plans.
There are promises of future action - such as:
- Setting up a Green Investment Bank
- A 'Green Deal' to help people insulate their homes
- Some green taxes.
But some of this could have been done now.
The Chancellor could have changed the rules so we tax planes and not individual passengers. This would cut CO2 by discouraging flights of half empty planes.
He could have brought in a Robin Hood Tax on currency speculation. This would tax some of the most risky activity that led to the banking crisis and bring in billions to help people and the planet.
As well as tackling climate change, measures like these would have been a greener and fairer alternative to increasing VAT, which will hit poorest households hardest.
Increasing VAT is deeply regressive - Robin Hood taxes on banking transactions and increased taxes on aviation pollution would have been a greener and fairer way to cut the deficit.
Britain has the skills and natural resources to create a booming green technology sector that would drive the country's economic recovery - but proper Government support is needed to make it flourish
Simon Bullock, Economy Campaigner
A green recovery
Investing in green industry now would:
- Boost the economy
- Create green jobs
- Cut carbon.
Government support for green industries would more than pay for itself in increased economic activity and new jobs. And households and businesses could save billions of pounds on energy bills through energy efficiency programmes.
Fuel poverty
The Budget also contained nothing on how the Government will deal with the scandal of fuel poverty. At the moment more than 5 million people cannot afford to heat their homes. This situation will only be worsened by the VAT rise.
Lots still to do
Promising to be the 'greenest Government ever" is a pretty clear statement. The budget has not delivered on it. The Coalition has a great deal of work to do between now and the Autumn's big strategies on spending and tax if it is to deliver on that promise.
Read Friends of the Earth's full analysis
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