Revenue from the United Kingdom’s carbon emissions tax on energy-intensive industries has surpassed £20 billion, according to new figures.
The levy, administered by the Department for Energy Security and Net Zero under Ed Miliband, has generated significant income for the public purse, but the distribution of those funds remains a point of contention.
Business leaders argue that the financial burden on heavy industry is not being offset by corresponding support.
Companies subject to the tax report receiving only a fraction of the collected revenue back in the form of grants or subsidies to help them meet green targets.
The disconnect between the scale of the levy and the level of reinvestment has intensified calls for a review of how the funds are allocated.
The tax was designed to incentivize decarbonization among Britain’s most polluting sectors, including steel, cement, and chemicals.