In 2023, the air pollution-related energy tax revenue in the UK stood at approximately 0.30% of total tax revenue. The forecast for the period from 2024 to 2028 suggests a gradual increase in this revenue stream, rising from 0.31% in 2024 to 0.33% by 2028. The year-on-year variation reflects a relatively steady growth rate, with no significant fluctuations expected over the evaluated period.
This slow but consistent growth indicates a stable policy environment focused on regulating air pollution through taxation. A key trend to watch in the future includes potential policy shifts influenced by technological advancements, particularly in renewable energy adoption and carbon capture solutions, which could alter the projected tax revenue trajectory.
