Guest post by BHESCo volunteer & member
Annette Unsworth
Much has been made of Labour’s recent announcement that, should it win the General Election, it would delay its plans to invest £28 billion in green jobs and industries. The Shadow Chancellor, Rachel Reeves, is keen that we see her decision as demonstrating economic credibility. Sadly, I see only lack of ambition and short-term fear of losing the support of disillusioned Tory voters.
Climate change is reshaping our world
We are in unprecedented times as far as our environment is concerned. Even traditionally conservative industries are voicing worrying concerns. The Financial Times, for example, reported an affordability crisis in the home insurance industry on 13th February 2024. This has been brought about by the increasing frequency of natural catastrophes such as floods, wild-fires and devastating storms.
In the US State of Florida, it is almost impossible to get house insurance as some of the biggest home insurers have pulled out of the housing market. It is possible that this could happen in the UK for water damage due to flooding.
The Bank of England warned in its 2021 climate survey that, should governments fail to act on climate and allow global warming to reach 3.3oC above pre-industrial levels by 2050, 7% of UK homes currently insured would be forced to go without cover due to unavailability or cost. Meanwhile, the Climate Council, an independent advisory body, has said Australia is fast becoming an uninsurable nation with 1 in 25 homes predicted to be without cover as early as 2030.
The need for long-term planning, not short-term politics
Now is not the time for hesitancy around addressing climate issues.
Now is the time for bold and radical solutions.
Unfortunately, time and time again, politicians harp back to short-term politics and old school economics, fearing voter backlash to long-term mitigation. Unfortunately, delaying now will only make things worse and more expensive as time goes by.
A May 2022 policy brief from the London School of Economics (LSE) titled “What will climate change cost the UK?” highlighted the importance of understanding the risks. The worst climate impacts are expected in the latter part of this century but mitigating them depends on decisions made today.
The LSE believes there are strong, long-term economic reasons for the drive to net-zero and calculates that the benefits will exceed the costs in the second half of this century. Combined, it expects the net-zero transition (estimated to cost a maximum of 2% of UK GDP) to have a net benefit of around 4% of GDP. This is in addition to significant health improvements, due largely to cleaner air, and stimulation of the economy through investment.
Lessons from history
What should we do if our politicians are fearful of taking the long view? Sometimes looking to the past is not a bad thing, it demonstrates that many beneficial societal changes have come from grassroots community organisations. The Women’s Liberation Movement, working class mutual aid societies in the 1800s and The Worker’s Education Association founded in 1903 are all good examples.
I believe it is equally likely that the only way we will achieve the rapid transition to clean energy is through the growing number of community energy groups tired of waiting for those in power to take charge and keen to join with others who share their growing frustration.
Conclusions
I live in Brighton, a city home of Brighton & Hove Energy Services Co-op, with whom I am a member. I support them by investing what I can and see it as my way of progressing the net zero agenda locally and nationally. If you don’t currently know much about community energy, I encourage you to look at what’s happening near you and to get involved if you can.
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