Legal & Regulatory News

UK Government issues a statement on UK Green Taxonomy

On 14 December 2022, the UK Government released a statement made by Andrew Griffith (the Secretary), the Economic Secretary to HM Treasury and Co-chair of the UK's Transition Plan Taskforce, regarding the development of a UK Green Taxonomy.

Within the statement, the Secretary announced that following engagement with the Green Technical Advisory Group, wider stakeholders and difficulties faced by a similar taxonomy in the EU, the Government will review its approach to the taxonomy developments. Therefore, the Government will not make secondary legislation under Taxonomy Regulations this year.

Therefore, subject to parliamentary approval, the Financial Services and Markets Bill current before Parliament will repeal the current Taxonomy regulations. HM Treasury will latterly consider how to use the powers in the Bill to restate and modify retained EU law and decide whether to change the UK's approach.

The UK Government will next provide an update regarding the UK Green Taxonomy when it releases its publication of the Green Finance Strategy in early 2023.

Click here to view the statement.