Your browser is no longer supported

For the best possible experience using our website we recommend you upgrade to a newer version or another browser.

Your browser appears to have cookies disabled. For the best experience of this website, please enable cookies in your browser

We'll assume we have your consent to use cookies, for example so you won't need to log in each time you visit our site.
Learn more

UK ranks third in KPMG Green Tax Index

The UK ranks third in the The GreenTax Index, created by KPMG to increase awareness of the rapidly evolving green tax landscape worldwide.

The report aims to encourage companies to explore the opportunities of green tax incentives, and to reduce exposure to green tax penalties.

KPMG International has analysed 21 countries for this report and found that all of them have green tax systems that warrant attention from corporate tax and sustainability teams. The research identified over 200 individual tax incentives and penalties of relevance to corporate sustainability.

The UK ranks third and scored most highly in the area of carbon and climate change.

The report acknowledged the UK’s participation in the EU’s Emissions Trading System and the Climate Change Levy, an environmental tax levied on electricity, gas, solid fuels including coal, and liquefied petroleum gas.

The levy is designed to encourage energy efficiency to help the UK meet its targets for cutting greenhouse gases, including carbon dioxide emissions.

However, the UK ranked low when it concerned encouraging renewable energy and fuels. The US ranked highly in this section.

The report showed the US to implement various tax credits to incentivise renewable energy production and use. It also noted that the US also offers tax deductions, which includes a capital allowance of 50 per cent of the cost of cellulosic biofuel production equipment.

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions. Links may be included in your comments but HTML is not permitted.