Forecast: Climate Change-Related Total Tax Revenue in the UK

The climate change-related total tax revenue in the UK is forecasted to decline gradually from 2024 through 2028. Starting at 5.86% of the total tax revenue in 2024, it's expected to decrease to 5.52% by 2028. Compared to earlier years, this trend represents a slight downward annual change, approximating a negative year-on-year variation as the years progress.

Future trends to watch for include:

  • Potential policy shifts that may impact tax structures and initiatives aimed at increasing climate adaptation and mitigation efforts.
  • Developments in green technology which could alter energy consumption patterns and, consequently, revenue collected from climate-related taxes.
  • Changes in international climate agreements that could influence domestic taxation strategies.

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