UK businesses seek tax incentives to go green

Research by energy supplier Powergen shows that both consumers and small businesses agree that tax breaks would help them become more energy conscious.

The Powergen Energy Monitor (PEM) for 2004 revealed that most consumers were not familiar with energy efficiency policy and are not adjusting their energy efficiency habits to help tackle climate change.

Suggestions given on how businesses could be persuaded to become energy efficient include council tax reductions for energy efficient home improvements, a reduction in VAT for all energy efficient appliances and clearer labelling on electrical products.

While there is support among small businesses for these incentives, almost half of respondents would not know where to turn for advice on the subject of energy efficiency.

Consumers believe a clear public campaign should be introduced to make businesses and householders aware of their role in combating climate change.

“Although Government has a key role to play in leading and setting a policy framework that makes it easier to take action, it can not do this alone. However, it is clear that the British public aren’t seeing the support and information they need.”

The effects of climate change an be devastating for small businesses as witnessed by heavy flooding in Boscastle earlier this year with a cost of £25 million to local tourism.

Professor Trevor Davies, at the University of East Anglia, said: “The way to deal effectively with this problem is to cut our carbon dioxide emissions and to slow the rate of climate change.

“Our research leads to a number of policy recommendations which will help ensure that the conditions for action are met and put consumers and small businesses on course to meet the challenge of combating climate change.”