UK Green Taxonomy
Read the full outcome
Detail of outcome
The government is committed to delivering a world-leading sustainable finance framework. This includes ensuring that we have the right tools in place, and proportionate regulation that will support the transition, strengthening the UK’s position as the sustainable finance capital of the world so that the UK can lead the clean energy transition at home and abroad.
After careful consideration of the consultation responses, the government has concluded that a UK Taxonomy would not be the most effective tool to deliver the green transition and should not be part of our sustainable finance framework. Whilst the government’s ambitions to continue as a global leader remain unchanged the consultation responses showed that other policies were of higher priority to accelerate investment into the transition to net zero and limit greenwashing.
The government remains committed to delivering our Clean Energy and Growth Missions and meeting our environmental targets. The government will focus on delivering the plans that respondents have told us will have the greatest impact and will consider how best to align our ambitious policies to support investors to make investment decisions. This will help the UK accelerate investment into the global transition to net zero and nature restoration.
This consultation response document summarises the feedback received and includes an assessment explaining why the government has decided not to proceed with this policy.
Original consultation
Consultation description
The purpose of implementing a green taxonomy is to support investment into activities aligned with sustainability goals, and to mitigate greenwashing. However, the government is aware that taxonomies can be complex in practice, and feedback on their value is mixed.
This consultation is therefore seeking views on whether a UK Green Taxonomy would be additional and complementary to existing sustainable finance policies, including in supporting market participants to make sustainable investment decisions, and the specific market and regulatory use cases which facilitate this.
This will inform an assessment of the value of implementing a UK Taxonomy, and exactly how it could be targeted to ensure it is as effective as possible.
Documents
Updates to this page
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Consultation outcome added.
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First published.