Letter Caroline Lucas and Richard Murphy: The government’s sensible response to the crisis has been to turn on the spending taps, maybe to the tune of £300bn. Expanding this to tackle the climate emergency is made easier by the government’s ability to borrow money at negative interest rates. Green quantitative easing could also help, while members of the Green New Deal group have also proposed that private savers’ money be used to help fund the green transition by changing the rules on Isas and pensions, so that some of the £170bn saved annually in such accounts and pensions might be invested in government-backed green bonds. In addition, over time there will also be higher tax takes from the industries and workers newly involved in such an enormous programme that will help pay for it. The green new deal can be paid for, but the government must pump-prime the process, and all political parties should support such a move.
Guardian 15th June 2020 read more »