The net zero sector in the UK is growing three times faster than the overall economy, providing high-wage jobs while at the same time cutting carbon emissions and increasing energy security.
These are the conclusions of a recent report by the Confederation of British Industry (CBI), which found that the net zero economy grew by 10% in 2024 and generated £83bn in gross value added (GVA) - a measure of how much value companies add through the goods and services they produce.
The report found that more than 20,000 net zero businesses, from renewable energy to green finance, employ almost a million people in full-time jobs. The average annual wage in the businesses – £43,000 – was £5,600 higher than the national average.
The authors of the report said it showed that economic growth and climate action go together, improving lives and livelihoods. The chancellor, Rachel Reeves, has described net zero as “the industrial opportunity of the 21st century.”
The report analyzed the growth attributable to businesses working in areas including renewable energy, electric vehicles, heat pumps, energy storage, green finance and waste management and recycling. The sector is also expanding strongly, with the 10% growth in 2024 following an increase of 9% in 2023.
The report found that the heart of the expansion in the net zero economy is in Yorkshire, the West Midlands, and south-west England. In Scotland, net zero jobs have increased by 20% since 2022. Jobs in the net zero sector also had 38% higher productivity than the UK average.
The report concluded: “The net zero economy is not only driving environmental progress but also delivering transformative economic and social benefits across the UK.”
Increasing clean energy is also seen as a way of boosting energy security, reducing reliance on fossil fuels while at the same time avoiding the effects of geopolitical upheaval such as Russia’s invasion of Ukraine and the continuing instability in the Middle East.
