Cicero Policy Briefer

Issue 25, June 2008

Re-marginalising the green lobby

By Stephanie Fraser

In April, I wrote that the Government was finally demonstrating its commitments to tackling climate change and achieving its carbon reduction commitments by putting its best man on the job. Lord Turner was named in March as Chair of the new Climate Change Committee, a group of notables which will provide “independent, expert advice” on how the UK can best meet its climate change goals. Turner himself seemed to take on the role with zeal, calling climate change “one of the greatest challenges of our time”.

However, scarcely three months on, Turner has a much-vaunted new role—Chairman of the FSA. Clearly a man of much experience in this sector (as a former Director General of the CBI and head of the Pensions Commission), his appointment has been largely welcomed by business, and he is said to be looking forward to the challenges afforded by this role.

But even though the FSA chairmanship will only be a part-time position, it is not hard to see that combating climate change is going to slip down Turner’s personal to-do list. The City is in trouble and the Government is unpopular; restoring harmony is bound to be his main priority. This dual appointment mirrors the fate of climate change policy in the broader government agenda. In June 2007, climate change was the public policy issue and progress was being made to unite the industry, the population and the international arena in embarking on a path towards meaningful carbon reduction. The green policy drive was propelled by short-term meteorological issues, notably extreme flooding in many UK regions, but seemed also to have a deeper resonance; it seemed symbolic of a strong recognition that the Government must plan ahead to mitigate against further disasters where possible.

However in June 2008, with the credit crunch, the collapse of the housing market and the rise in global oil and commodity prices, the Government clearly thinks the country has enough on its plate without worrying about the future of the environment. Thus, the intended fuel price rise is likely to be shelved following recent protests, and the Treasury is rolling back from the implementation of green taxes. It is not only the Government who are guilty of re-marginalising climate concerns, either. The Conservatives, whose venture into green politics was first mocked and later acclaimed, have sidelined green policies in favour of the more ‘serious’ issues of crime, unemployment and tax. It was these issues, and not the environment, that the new Conservative London mayor Boris Johnson put at the heart of his campaign.

Now is the time when all parties decide the policies which will form their manifesto going into the next election. It will be a shame, to put it kindly (and an unqualified disaster, if one does not), if no party now takes on a pledge to put the environment at the centre of policy issues in the next administration—regardless of economic conditions. However, if a repackaging of ideas is required (and campaigners have reported that ‘green’ issues turn off voters in the current environment), the plug should be for long-term stability and security. Policy developments should follow the theme of sustainable consumption, whether in financial, commodity or carbon markets in order to effect a shift in consumer thinking away from immediate gains and towards sensible future investment. Thankfully, this is a message that Lord Turner should be able to promote in every context.

Stephanie Fraser can be contacted on +44 (0)20 7665 9531 or click here to email.