8th Report - The Seventh Carbon Budget

The government commits to proposing to Parliament that the seventh carbon budget be set in line with the Climate Change Committee’s recommended level of 535 MtCO₂e. A cross-government process will follow to develop the delivery pathway and new policies, considering the Committee's suggestions.

The government acknowledges the Committee's concerns about delivery risk and states that these elements will be carefully considered during the development of the delivery plan for the seventh carbon budget, in line with existing statutory duties and risk review processes.

The government accepts the recommendation to propose setting the seventh carbon budget at the Climate Change Committee's recommended level. However, it states that elements for strengthening action to address delivery risks will be carefully considered during the development of the delivery plan.

The government states that the elements of the recommendation, including contingency planning and policy instruments, will be "considered carefully" as it develops the delivery plan for the seventh carbon budget. It also notes that many of these are already under consideration and delivery risks are regularly reviewed.

The government states its commitment to ambitious climate action, guided by international cooperation and the Paris Agreement, and highlights that the Carbon Budget 7 Impact Assessment articulates how the chosen CB7 level is credibly aligned with pathways to limit global temperature increase to 1.5 °C.

The government states that the analysis published within the Carbon Budget 7 Impact Assessment articulates how the chosen CB7 level aligns credibly with pathways to limit global temperature increase to 1.5 °C, thereby addressing its Paris Agreement obligations.

The government acknowledges the importance of strong cross-government coordination and states that existing frameworks and central leadership are in place, also committing to carefully consider the Committee’s recommendations for strengthening cross-government delivery when developing the CB7 plan.

The government acknowledges the importance of coordination and states it will publish a statutory delivery plan for the Seventh Carbon Budget after Parliament decides the budget level. It will carefully consider the Committee’s specific recommendations for strengthening cross-government delivery when developing this plan, rather than committing to publish an indicative framework alongside the draft Carbon Budget Order.

The government recognises the importance of strong cross-government coordination, stating that decarbonisation impacts are already considered in decisions and a robust framework is in place. It will publish a delivery plan for CB7 and will carefully consider the Committee’s recommendations for strengthening cross-government delivery.

The government agrees on the urgency and states that DESNZ already provides cross-government leadership on net zero communications, citing recent campaigns, a new Clean Energy website launched in September 2025, and an annual statement to Parliament as evidence of their commitment to clear public messaging.

The government acknowledges the importance of cross-government coordination and will publish a delivery plan for the seventh carbon budget, stating they will carefully consider the Committee's recommendations for strengthening delivery during its development.

The government recognises the importance of cross-government coordination, states that the Prime Minister and Chancellor support DESNZ's role, and will publish a statutory delivery plan for the Seventh Carbon Budget. It will carefully consider the Committee’s specific recommendations for strengthening cross-government delivery when developing this plan.

The government notes the importance of the concerns raised, stating that a delivery plan for the seventh carbon budget will be developed through a cross-government process after the budget is set, and confirms that the Committee's suggestions will be carefully considered during this development.

The government acknowledges the committee’s suggestions regarding delivery risks and the need for clearer plans, stating that elements such as policy instruments and infrastructure readiness will be considered carefully during the development of the Carbon Budget 7 delivery plan.

The government states it will align with statutory duties to lay a delivery plan for the Seventh Carbon Budget after the budget level has been set. It welcomes the Committee's suggestions for sector delivery plans and will carefully consider these elements, including policy instruments, funding, infrastructure, and contingency planning, when developing the statutory delivery plan.

The government agrees on the importance of building resilience and states its plans already prioritise developed technologies, citing the Zero Emission Vehicles Mandate. Regarding Greenhouse Gas Removals, it welcomes a recent independent review, will consider its recommendations in due course, and will set out the role of GGRs in the delivery plan for carbon budgets 4-7.

The government agrees on the importance of resilience and states its plans already prioritise early, high-confidence emissions reductions, with Greenhouse Gas Removals (GGRs) used to balance residual emissions; it will consider GGR Independent Review recommendations and set out the role of GGRs in a future delivery plan.

The government agrees on the importance of resilience, stating it already assesses opportunities, explores alternative policies, and prioritizes mature technologies. It welcomes the GGR Independent Review and will consider its recommendations, with the role of GGRs in CB7 and net zero to be set out in the forthcoming delivery plan for carbon budgets 4-7.

The government agrees with the recommendation and is committed to preventing carbon leakage. It will gradually phase out free allocations for sectors covered by the UK Carbon Border Adjustment Mechanism (CBAM) from 2027, over an indicative 9-year period, to work with the introduction of the UK CBAM.

The government agrees that climate policies must prevent offshoring and support UK industry competitiveness. It highlights its commitment to decarbonise industry, existing investments, and specific policies like the UK ETS and the gradual phasing out of free allocations with the introduction of the UK Carbon Border Adjustment Mechanism from 2027.

The government agrees that policies must support domestic decarbonisation and prevent carbon leakage. It highlights existing commitments, the UK Emissions Trading Scheme, and the gradual phasing out of free allocations for sectors covered by the UK Carbon Border Adjustment Mechanism from 2027, with the delivery plan setting out how these measures will operate together.

The government agrees on the importance of preventing emissions offshoring and supporting UK industry decarbonisation. It commits to gradually phasing out free allocations for UK ETS sectors covered by the UK Carbon Border Adjustment Mechanism (CBAM) from 2027, over nine years, and states the full package of measures will be detailed in the CB7 delivery plan.

The government agrees with the recommendation and commits to ensuring climate policies do not drive offshoring. It states that the delivery plan will set out how key policy mechanisms, including electricity price support, infrastructure, and carbon pricing, will operate together during the CB7 period to support domestic investment and manage carbon leakage.

The government accepts the recommendation, detailing that free allocations under the UK ETS will be gradually phased out for CBAM-covered sectors from 2027 over an indicative nine-year period, and commits to monitoring the effectiveness of this transition and interaction.

The government accepted the recommendation, stating it laid a statutory instrument on 14 April 2026 to formally include international aviation and international shipping emissions in Carbon Budget 6, all subsequent carbon budgets, and the net zero target.

The government describes its existing approach to co-benefits and engagement, stating its commitment to inclusive and participatory approaches. It plans to launch an annual "Energising Britain" event in 2026 and create a new Youth Climate and Nature Panel under the Net Zero Council to embed young people's perspectives.

The government outlines several existing and new initiatives related to public engagement and participation, including a new annual Energising Britain event in 2026 and a Youth Climate and Nature Panel, but does not explicitly commit to a costed public engagement and delivery plan with clear objectives, milestones, and reporting as requested.

The government states that co-benefits guide its decarbonisation approach and it is pursuing policies for tangible improvements. It commits to ongoing inclusive and participatory engagement, launching an annual 'Energising Britain' event and creating a Youth Climate and Nature Panel, but does not detail specific new policy levers or a structured place-based approach for behaviour change.

The government states that co-benefits are already central to its decarbonisation approach and will continue to guide future plans. It highlights ongoing engagement initiatives, plans to launch an annual Energising Britain event in 2026, and is creating a new Youth Climate and Nature Panel under the Net Zero Council.

The government states that co-benefits were already central to its decarbonisation approach and will continue to guide future plans. It describes pursuing policies for tangible improvements and is committed to ongoing inclusive engagement, launching an annual Energising Britain event in 2026, and creating a new Youth Climate and Nature Panel.

The government states that its published Impact Assessment and equality analysis already consider distributional impacts and fairness in the net zero transition, and that further impacts will be considered in detail as part of developing the CB7 delivery plan.

The government states it has already moved legacy costs from electricity bills to the Exchequer and taken other actions to reduce electricity costs. It is expanding the British Industrial Competitiveness Scheme, accelerating its £15 billion Warm Homes Plan with an uplift to the Boiler Upgrade Scheme, and providing an additional £100 million for the Warm Homes: Social Housing Fund.

The government does not commit to publishing a separate Fairness and Distribution Assessment, but states it has already published an Impact Assessment with distributional analysis and an equality analysis, and that further impacts will be considered as part of developing the CB7 delivery plan.

The government highlights its focus on co-benefits and inclusive, participatory approaches for decarbonisation. It commits to launching an annual "Energising Britain" event in 2026 and creating a new Youth Climate and Nature Panel under the Net Zero Council to ensure engagement and embed intergenerational perspectives in policymaking.

The government highlights its focus on co-benefits and states a commitment to ongoing inclusive and participatory approaches, announcing a new annual 'Energising Britain' event in 2026 and a Youth Climate and Nature Panel. However, it does not explicitly detail a clear, resourced public participation programme specifically within the Seventh Carbon Budget Delivery Plan that addresses all aspects of two-way engagement and transparent feedback loops as recommended.

The government acknowledges the crucial role of local authorities and outlines several concrete actions, including continued and integrated funding schemes, the establishment of a Warm Homes Agency, and the development of a local net zero framework to provide clarity on their role.

The government acknowledges the essential role of local authorities and outlines £5 billion in funding for low-income households, with plans to integrate schemes from 2027/28 and establish a Warm Homes Agency. However, regarding a statutory duty for local authorities in net zero delivery, they are only aware of LGA consultations and plan to discuss findings and develop a framework, not legislate.

The government expresses gratitude for the Environmental Audit Committee's engagement in scrutinising the carbon budget recommendations and welcomes their support for the recommended level for CB7.

The government reiterates that the Climate Change Act already includes mechanisms for parliamentary scrutiny of carbon budgets, such as debates and approval, and states its approach will align with these statutory duties. It welcomes the Committee's suggestions, noting they will be considered during the development of the CB7 delivery plan.

The government acknowledges the committee’s suggestions for an enhanced scrutiny framework, stating that the outlined elements will be considered carefully as they develop the delivery plan for the seventh carbon budget, while aligning with existing statutory duties.