MAXIMISING THE IMPACT OF THE UK’S NET-ZERO STRATEGY – MAKING EVERY POUND COUNT AND COUNTING EVERY POUND
The whole economy transition needed to keep the planet below a 1.5 degree increase in temperature is a massive undertaking. While exact figures vary, the UK government’s Committee on Climate Change estimates that £50-60bn per annum of public and private sector investment is required in the coming years if the UK is to meet its net-zero targets. This level of investment and change is unprecedented and the operational, execution and fraud risks cannot be overestimated.
In our recent ‘Emerging danger – a new net zero industry?’ report, we estimate that green fraud across public and private sector spending could amount to £3.5bn per annum, and up to £50bn by 2050.
It is in everyone’s interest to ensure fraud on taxpayer money is kept as low as possible and that the money allocated to executing on the UK’s Net Zero Strategy is deployed efficiently and effectively.
Inaction – at what price?
According to the National Audit Office, ‘The Bounce Back Loan Scheme: an update’, £47bn of ‘bounce back’ loans were issued by banks in 2021. The National Audit Office has estimated that the taxpayer faces losses of £4.9bn because of fraud in this area. In other words, 11 percent of loans under this one scheme were fraudulent.
Apr-Jun 2022 Issue
FTI Consulting