Winning the global green race: Lessons for the UK from the US' Inflation Reduction Act
The UK is in urgent need of renewal. The country faces a series of challenges: stagnation and inequality, risks to national and energy security, and the climate and nature crises.
In response to similar threats faced in the United States, the Biden administration has passed the Inflation Reduction Act, and while the EU is contesting various measures on fair trade grounds, it’s also preparing to respond in kind via its proposed Green Deal Industrial Plan. The UK risks being squeezed by its two largest trading partners.
It’s not possible for the UK to just replicate the measures in the IRA, but there are lessons to learn if the UK is to respond effectively and reap the benefits of the green transition and accelerate its pathway to net zero. Failure to do so will see the UK not just falling behind in the global green race, but falling out of it altogether with disastrous consequences for its economy and the environmental agenda.