CIOT/IFS Online Debate: What is the role of tax in getting to net zero?

The UK is committed to reducing net greenhouse gas emissions that arise from UK-based activities to zero by 2050. The EU and other countries have set similar targets, and more will be encouraged to do so at COP26 in Glasgow in a few weeks time. Achieving these targets will require large shifts away from emissions-intensive activity from both consumers and producers.

• How far can tax and other carbon pricing mechanisms drive this behavioural change?
• Which works better – taxing carbon emissions, or ‘cap and trade’ schemes?
• Is the UK’s current mix of green policies effective, or should we aspire to a unified carbon tax?
• How can we ensure the impact of green taxes is fair?
• And to avoid importing emissions, do we need a carbon border adjustment mechanism?

These are some of the questions our expert panel considered as, 10 days ahead of COP26, we debated the role of tax in tackling climate change.

Click here to watch the event back.