It increasingly feels like George Osborne was otherwise engaged when his peers were discussing their ambitions to be the 'greenest Government ever'. Back in May the Guardian’s Green-o-meter (which tracks Government progress towards its environmental goals) was sitting firmly in the middle of the road. Since then, it has edged further towards George Bush. Today’s Autumn Statement may push it even further in that direction, with little to push the scales towards green. The Green Deal and the Green Investment bank, two flagship initiatives with real potential for helping decarbonise our economy, were mentioned only in passing.

Following from the motoring-friendly and environmentally damaging announcement that speed-limits on our motorways could rise to 80mph, Osborne announced today that the planned fuel duty increase in January would be scrapped and the increase in August would be reduced from 5 pence to 3 pence. Whilst this will be welcome news for car dependent families struggling to keep up with their bills, it does not sit with the wider need to reduce our road transport emissions or provide an incentive for motorists to try more sustainable modes of transport.

The Chancellor’s single mention of climate change was saved for the announcement of further carbon tax relief for energy intensive industries, including the climate change levy and the EU Emissions trading scheme. Noting that he is ‘worried about the combined impact of the green policies adopted not just in Britain, but also by the European Union’ Osborne re-asserted his position that the economic concerns should always trump the environmental concerns. However this position fails to recognise that the environment and the economy are not mutually exclusive: green policies create jobs. Estimates suggest that the carbon capture and storage industry alone could create up to 60,000 jobs by 2030.  

Whilst it is right that pushing industry overseas will hurt UK plc, whilst doing nothing to reduce global emissions, this announcement is further evidence of the Government's ‘schizophrenic’ attitude towards meeting our climate change targets and growing a low-carbon economy. Attracting investment in these risky industries is difficult enough as it is. But the lack of a stable policy environment and government leadership internationally to decarbonise our economy will further damage confidence and could stifle the industry for good.

Yes, there may be more pressing short-term issues for both the public and for politicians. But without tackling climate change we are not giving credence to our long-term economic prosperity and the impact of not preventing runaway climate change. With the current global economic outlook, this is a risk that we can’t afford to take.

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