Skip to main content

Legal Update

Budget 2012 – Osborne signals death knell for CRC?

21 March 2012
Mayer Brown Legal Update
Breaking news from the UK Parliament: the Chancellor, George Osborne, is currently delivering his Budget speech in the House of Commons.

He has just made a key announcement, which will affect a large number of our clients: he has said that unless significant savings can be made in the administration costs for businesses of complying with the CRC, he will bring forward proposals in the Autumn to replace the CRC with a green tax.

Launched in 2010, the CRC is a mandatory emissions trading scheme for large non-energy intensive organisations and is one of the UK’s flagship green schemes.

Our view: without primary legislation, it’s highly unlikely that the Chancellor will be able to reduce the costs of the CRC. That means – and this will be regarded as good news by many – it looks increasingly likely that the CRC is going to be abolished. Attention will then focus on its replacement: a new green tax.
The Build a Report feature requires the use of cookies to function properly. Cookies are small text files that are placed on your computer by websites that you visit. They are widely used in order to make websites work, or work more efficiently. If you do not accept cookies, this function will not work. For more information please see our Privacy Policy

You have no pages selected. Please select pages to email then resubmit.