“The NWF will be investing £7.3bn in total, which is clearly far less than the climate change committee has called for each year,” says Craddock-Taylor.
“While the investment commitment from the government is a huge step forward, it is still relying heavily on the private sector to allocate capital to industries that will transition the UK towards net zero. The success of the NWF will be measured in how much private capital is invested alongside the governments’ £7.3bn.”
And while improving the country’s energy independence and tackling climate change are among the aims of the fund, Craddock-Taylor says that bolstering the green economy is also beneficial to the economy and future prosperity.
“Some would argue the NWF isn’t going far enough when looking at it through this lens,” she adds. “The UK’s net-zero economy grew by 9 per cent in 2023, compared with broader GDP growth of 0.1 per cent.
“Jobs in the net-zero economy are significantly more productive than the UK average, and are better paid by almost £10,000. [They] are disproportionately outside of London and the South East, so further support beyond the NWF through policy intervention will be crucial to broaden the UK’s prosperity.”
Chloe Cheung is a senior features writer at FT Adviser
