The UK’s low carbon economy is now worth more than £200bn, four times the size of the country’s manufacturing sector, with growth expected to accelerate in the coming years, according to new analysis.
Despite what experts say has been lacklustre and patchy support from central government, the analysis found more than 75,000 businesses from wind turbine manufacturers to recycling plants employ more than 1.2 million people in the green economy.
Experts say the sector not only has the potential to help tackle the climate crisis but also create sustainable jobs and improve people’s quality of life – with cleaner transport, reduced air pollution and better insulated homes.
But they warn that if the UK is to make the necessary rapid and fair transition to a low carbon economy, the government must mobilise all sections of society – from trade unions to local authorities, community groups to businesses – behind a “national programme of transformation”.
Prof Patrick Devine-Wright, of Exeter University and a lead author with the IPCC, said: “We need everybody to pull together or we have no chance of meeting these ambitious targets and staving off what are going to be really, really damaging climate consequences.”
He said in the coming years many day-to-day aspects of people’s lives would need to change, from the way homes are heated to how people get around town and cities, from what they eat to where they work.
“We need nothing less than a societal process of transformation in place alongside this vision of new technology, devices and infrastructures,” said Devine-Wright. “Unless we connect all those dots up, I don’t think it is going to happen in the timescale that is required.”
Today’s research shows that the low carbon sector is worth £205.7bn in the UK. Using the same methodology, kMatrix found the manufacturing sector is worth £55.6bn and the construction sector is worth £132.9bn.
Wind, wave and tidal, and solar power have all grown rapidly in recent years, according to the data, which shows that overall the low carbon sector grew by 7.4% during the financial year 2018/19 to 2019/20 and contracted by -9.0% during 2019/20 to 2020/21 but is expected to bounce back in the post-Covid recovery.
Over the next week, the Guardian will highlight low carbon schemes and projects around the UK – from regenerative farmers to private recycling companies, via hydrogen jet fuel, net zero whisky, retrofitting builders, and hemp milk – showing how they are not only helping reduce emissions but also improving communities, creating jobs and improving living conditions.
But the current ad hoc nature of the low carbon economy, with some sectors and regions racing ahead while others are being left behind, has raised fears that existing inequalities could be entrenched unless the government sets out a clear plan.
Experts say trade unions,…
Read More: UK’s green economy four times larger than manufacturing sector, says report