Britain’s net zero economy is booming, CBI says
Some extracts, but worth a quick read through.
The net zero sector is growing three times faster than the overall UK economy, analysis has found, providing high-wage jobs across the country while cutting climate-heating emissions and increasing energy security.
The net zero economy grew by 10% in 2024 and generated £83bn in gross value added (GVA), a measure of how much value companies add through the goods and services they produce.
The analysis, by the Confederation of British Industry (CBI), found that 22,000 net zero businesses, from renewable energy to green finance, employ almost a million people in full-time jobs. The average annual wage in the businesses – £43,000 – was also £5,600 higher than the national average.
The analysis showed economic growth and climate action go together, said the report’s authors, and improve lives and livelihoods. The chancellor, Rachel Reeves, was criticised in January for suggesting economic growth was more important than net zero, but said more recently: “There is no tradeoff between economic growth and net zero. Quite the opposite. Net zero is the industrial opportunity of the 21st century.”
The CBI’s chief economist, Louise Hellem, said: “It is clear, you can’t have growth without green – 2025 is the year when the rubber really hits the road, where inaction is indisputably costlier than action.
“We are approaching critical points of no return for energy security and emissions reduction. It’s really fantastic to see the growing strength of the net zero economy in the UK and we need to really continue to see that ambition.”
The net zero businesses accounted for 1.1% of the UK’s total GVA, making it bigger than the farming and advertising and market research sectors. The net zero sector is also expanding strongly, with the 10% growth in 2024 following a 9% jump in 2023.