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

The forecast for climate change-related energy tax revenue in the UK indicates a decreasing trend from 2024 to 2028. The value is expected to decrease yearly, from 4.07% of tax revenue in 2024 to 3.72% in 2028. This implies a year-on-year decrease, averaging a compound annual growth rate (CAGR) of approximately -2% over the five-year period, indicating a consistent declining pattern.

Future trends to watch for include:

  • The impact of government policy changes aimed at climate change mitigation.
  • Technological advancements and their potential in reducing dependency on taxed energy sources.
  • Shifts in consumer behavior toward more sustainable energy consumption.
  • Economic factors that could influence overall tax revenue, affecting the percentage rate attributed to energy taxes.

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