EU carbon plan deemed ‘attack on UK sovereignty’ as green policy sidelined

Brexit & Foreign Policy

The EU tax proposed by France would cover energy for heating and fuel, applying to households and to sectors of the economy not covered by the EU's emissions trading scheme.

British Treasury officials often make the argument that the UK should not ‘go it alone’ on economic measures aimed at curbing climate pollution, but should act in concert with our European neighbours to avoid any detrimental impact on the UK’s industrial competitiveness. But those very same Treasury officials acted in Europe to oppose exactly such a multilateral approach just this week.

France has been championing a plan – supported by the European Commission, Finland, Denmark and Sweden – to introduce a Europe-wide carbon tax. The EU tax envisaged would cover energy for heating and motor fuel, and would apply to households and to sectors of the economy not covered by the EU’s emissions trading scheme.

Formal discussions on this idea begin in Brussels today but as the New York Times reported, “One of the biggest obstacles is Britain, which wants to preserve its sovereign rights to manage taxation” and the European Voice has reported that the UK will reject such a tax out of principle “as an assault on their national sovereignty.”

This is a bit ironic when David Cameron is, at the same time, proposing a different Europe-wide levy on carbon, in the form of a minimum price of carbon in the European Emissions Trading Scheme.

Meanwhile green campaigners say yesterday’s budget sidelined green policies. Dr Victoria Johnson, climate scientist at the New Economics Foundation, said:

“The chancellor says he is committed to a green investment bank, but we still have no more detail about what it will do and how it will be funded” and Gaynor Hartnell, the chief executive of the Renewable Energy Association, said: “We do appreciate the pressures this new government faces, however there is now real urgency to move to detailed plans for action. The government needs to apply the same firmness of purpose it has shown today to renewables.”

The coalition government’s policy to replace the air passenger tax with a greener per-flight tax was deferred for review, and there was no more detail on changes to driving taxes. However, there was some good news with a reaffirmation of the UK’s immediate funding for people who are already suffering the effects of climate change.

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10 Responses to “EU carbon plan deemed ‘attack on UK sovereignty’ as green policy sidelined”

  1. Andy Sutherland

    RT @leftfootfwd: EU carbon plan deemed 'attack on UK sovereignty' as green policy sidelined: http://bit.ly/a2CDW7

  2. Rupert Read

    Good piece!
    This government has already proven itself grossly ungreen in a number of ways, including in its ‘patriotic’ response to the BP disaster.
    Anyone who hoped that ConDem would equal Green should give up on a bad job – and find a welcome in the Green Party!

  3. Liz Gallagher

    #leftfootforward. good blog http://bit.ly/8XhF9U

  4. John Ruddy

    So much for vote tory go green RT @leftfootfwd: EU carbon plan 'attack on UK sovereignty' as green policy sidelined http://bit.ly/bMJXEt

  5. Mikhail I

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