The Economic Cost of the Climate Crisis:

Can We Afford Inaction?

Many say that inaction is already proving expensive: 2024 was the hottest year on record, displacing 800,000 people through extreme weather and bringing 151 unprecedented weather events.

Yet, climate action has shifted from political priority to afterthought, particularly following the Trump presidency, which has rolled back climate programmes and championed slogans like “drill, baby, drill.” In Europe, spiralling defence costs and the pressure of rearmament have further squeezed funding for net zero efforts.

In the UK, the once-strong political consensus on climate is beginning to fracture. Labour placed climate action at the core of its manifesto, pledging to create Great British Energy to cut bills, generate 650,000 green jobs, improve home insulation to combat fuel poverty, and crack down on water companies polluting rivers.

Critics from Reform UK and the Conservative Party warn that climate policies could hinder economic growth and drive up energy bills disproportionately hitting the poorest, especially given that the UK now faces the highest industrial electricity costs in the world.

Does taking action on climate change boost economic growth or hold it back? What are the consequences of inaction? Can Labour’s climate agenda deliver on jobs, lower bills, and energy security all at once? How can the UK balance the demands of national defence with the need for climate investment? How can countries remain motivated by climate action when the world’s superpower no longer takes it seriously?

FEATURING:

Steve Race MP

Labour MP for Exeter

Max Wilkinson MP

Liberal Democrat MP for Cheltenham and Culture, Media and Sport Spokesperson

Roshan Salgado D'Arcy

Climate Economist

Oli Mould

professor of human Geography

CHAIR - VICKY PRYCE

Chief Economic Adviser and a board member at the Centre for Economics and Business Research (CEBR)