GovWire

Policy paper: UK Government Green Financing

Hm Treasury

September 26
06:00 2022

Table of Allocations, 2021-22

Second Party Opinion

Carbon Trust report

Investor Presentation

Details

Green bond framework

Since September 2021, the governments Green Financing Programme has raised more than 18 billion from the sale of green gilts and NS&Is Green Savings Bonds. These funds support projects with clearly defined environmental benefits.

In June 2021, HM Treasury and the DMO published the UK Government Green Financing Framework. The Framework sets out the governments climate and environmental agenda, as well as its vision for enhancing the UKs leadership as the worlds pre-eminent green financial centre. The Framework explains how proceeds from the green gilt and NS&I retail Green Savings Bonds will finance expenditures to help tackle climate change, biodiversity loss and other environmental challenges, while creating green jobs across the UK.

The Framework lists six types of green expenditures that are financed by the Green Gilt and retail Green Savings Bonds:

  • Clean Transportation
  • Renewable Energy
  • Energy Efficiency
  • Pollution Prevention and Control
  • Living and Natural Resources
  • Climate Change Adaptation

The Framework also commits the government to annual allocation reporting and biennial reporting on environmental impacts and social co-benefits, ensuring transparency for retail and institutional investors as well as other interest

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