The UK government’s 'Industrial Decarbonisation and Net Zero Strategies' set out a roadmap to net zero by 2050, including the commitment to reduce greenhouse gas emissions from heavy industry by 78 per cent in 2035 compared to 1990 levels.
The commitment in law to these decarbonisation goals requires every policy lever to be pulled. Supporting the manufacturing sector as it tackles the net zero challenge is an important lever as it currently counts for 15 per cent of UK’s emissions.
The report - 'Delivering Net Zero Through Digital' - says that existing tools can be better targeted to help businesses embed net zero practices. The government should use Capital Allowances in their various forms to ensure businesses are investing in green technologies.
The super-deduction, R&D tax credits and other existing incentives offer great opportunities for manufacturers to revitalise their assets and plants, but without the right targeting the UK...