Voluntary carbon markets are not working and risk delaying net zero carbon emissions targets.
That is the stark warning from the independent Climate Change Committee (CCC), which scrutinises government policy and progress toward decarbonisation.
In a new report the committee says “businesses are increasingly turning to voluntary carbon offsetting as they aim to reach Net Zero. But recent market growth is premature.
“Offsets can mask insufficient efforts from firms to cut their own emissions, they often deliver less than claimed, and they may push out other environmental objectives in the rush to capture carbon.”
Carbon offsetting allows companies to compensate for their own pollution and boost climate credentials by purchasing credits from projects around the world that reduce or avoid greenhouse gas emissions, typically involving things like tree planting or nature restoration projects.
But the quality of these credits can vary hugely and there are no agreed global standards.
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Last month Sky News reported exclusively that nearly half of the carbon offsets held by energy company Centrica on behalf of its UK business and residential customers have such a poor reputation that the EU banned them from its own emissions trading system in 2013.
Centrica told Sky News: “These carbon offsets were initially brought to back a tariff which has not been sold since 2019.
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“We subsequently made the decision not to use them again as they were not aligned with our high environmental standards.”
Experts said that the Centrica offsets issue was indicative of a much broader problem with voluntary carbon markets, which are essentially unregulated and growing at an extraordinary pace.
Some studies have projected that if demand keeps growing the global market could be worth up to $50bn by 2030.
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‘A government attack on nature’
The CCC report says that current shortcomings “could be overcome with stronger governance to ensure high-integrity carbon credits and clearer guidance for businesses to encourage them to cut their own emissions first and foremost, before turning to offsets.”
Chief executive of the Climate Change Committee Chris Stark said: “Businesses want to do the right thing and it’s heartening to see so many firms aiming for early Net Zero dates.
“But poor-quality offsets are crowding out high-integrity ones. Businesses face confusion over the right approach to take.
“There is a clear need for government to make standards stronger and point businesses towards an approach that prioritises real emissions reduction ahead of offsetting.
“Those businesses that choose to support the economy-wide transition to Net Zero should get the credit they deserve.”
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A photograph has been released by Buckingham Palace showing the King delivering his Christmas message again outside of traditional palace walls.
This year the annual address was filmed in the Lady Chapel inside Westminster Abbey, the second time the monarch has recorded it away from a royal residence.
The palace has revealed the abbey was chosen for the setting this year to reflect a major theme of the message, pilgrimage.
Image: The Lady Chapel in Westminster Abbey, central London. Pic: PA
The full details of what he says are always kept secret until it is broadcast at 3pm on Christmas Day. The message is always seen as a deeply personal one from the monarch, as a rare speech delivered by the King without advice from, or consultation with, the government.
Westminster Abbey was seen as a perfect location to reflect the theme of pilgrimage with pilgrims visiting every year to remember the legacy of Edward the Confessor, whose shrine lies at the heart of the abbey. Around the walls of the Lady Chapel are 95 statues of saints dating from the building of the chapel in the 16th century.
Image: Pic: PA
The abbey, as the site of the King’s own coronation and that of every monarch since 1066, also has royal significance. The Henry VII Lady Chapel is the burial place of 15 Kings and Queens including Elizabeth I, Mary I and Mary Queen of Scots. Below the central aisle is the Hanoverian vault where George II and members of his family are buried. The Stuart vault is in the south aisle where Charles II, William III and Mary II, and Queen Anne lie buried.
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It is understood the King takes a particular interest in where the message is filmed each year, favouring different locations outside of royal palaces over the past two years.
In the photograph, taken during filming, you can also see brightly lit Christmas trees used for another royal event in December. They were still inside the abbey following the filming of the Princess of Wales’s Together at Christmas carol service, which will be broadcast on Christmas Eve.
The prime minister has acknowledged Britons’ cost-of-living struggles in his Christmas message – and vowed that helping with the issue is his “priority”.
Sir Keir Starmer also urged members of the public to “each do our bit” and “reach out” to friends, relatives and neighbours during the festive period.
In a message recorded inside 10 Downing Street, Sir Keir said: “I know many across Britain are still struggling with the cost of living. Helping with that is my priority.
“But at this time of the year, which celebrates love and abundance, loss or hardship can feel even more acute.
“So call around to a neighbour. Check in on a friend or a relative who you haven’t heard from for a while. Reach out. It can make a huge difference.
“That is what Christmas is about.”
Image: Sir Keir Starmer delivers his Christmas message from inside Downing Street. Pic: Downing Street
The prime minister thanked NHS workers along with members of the military and the emergency services who will be on duty on Christmas Day.
“Just as so many put their feet up, some truly special people will be pulling on their uniforms and heading out to work,” he said.
“Our NHS staff emergency services and the brave men and women of our armed forces, all playing their part, doing their bit to care for the nation and to keep us safe.
“Many volunteers will be out there as well. Serving food. Reaching out to help those lonely or in need.
“So on behalf of the whole country, I want to say a big thank you.
“As a nation, we should raise a glass to you this Christmas. But more than that, we should each do our bit as well.”
Sir Keir Starmer turning on the Christmas tree lights in Downing Street.
Conservative leader Kemi Badenoch used her Christmas message to talk about “Christian values” and thanked “everyone who has supported me during my first year as leader of the opposition”.
“It’s been the biggest challenge of my life,” she said. “But it’s also been a wonderful year. I can’t wait to get back to work next year to create a better United Kingdom.”
Liberal Democrat leader Sir Ed Davey spoke about the Christmas tree in London’s Trafalgar Square – an annual gift from Norway to thank the UK for its support during the Second World War – in his message.
While saying the tree may “look a little underwhelming” on first glance, the Liberal Democrat leader said it was a reminder of “friendship and loyalty”.
He added: “It makes me think about people standing together in tough times – whether against the Nazis in the 1940s, or right now in Ukraine.
“And yeah, it might not be perfect, but this tree in Trafalgar Square makes me think about families and friends looking out for one another right here at home.
“I can’t think of a better symbol of the Christmas spirit of generosity, love and hope. Of light in the darkness.”
Many in the UK will wake up to a frosty morning on Christmas Day – but don’t hold out hope for snow, forecasters have said.
The Met Office says the 24 and 25 December will be dry and sunny for most, but a brisk wind picking up from Christmas Eve will make this year slightly below-average temperature wise.
It adds that for most of the country, it will feel close to freezing, with temperatures peaking at 4-5C across the festive period.
In Scotland, temperatures are forecast to plummet below freezing across much of the country, with the north of the country potentially reaching -5C.
Keen swimmers looking for a bracing dip in the sea on Christmas Day and Boxing Day may potentially face big waves, due to easterly winds.
Despite the chillier temperatures, a white Christmas is not looking likely, with only a small chance of snowfall in Dartmoor and a 10% chance of “winter flurries” on the south coast of England.
Image: Pic: iStock
“All we need, of course, is for a flake of snow to fall anywhere across the UK for it to technically be termed a ‘white Christmas’, so something to keep an eye on across the far south of England,” Met Office meteorologist Marco Petagna previously said.
Last year, not one snowflake was recorded anywhere in the UK on Christmas Day. In fact, temperatures were above zero everywhere.
The last time all four UK nations had a white Christmas was back in 2010, the year snow lay most widely across the UK since 1959.