Conclusion 5: Net zero can materially improve people's lives - now and in 2050 - but work is needed to secure the benefits and minimise costs

35.  We all have an important role to play in the transition to net zero. Almost half of the policies in the Government's Net Zero Strategy rely on personal action. In many cases, people are already making these decisions. Survey data suggests that 45% of the UK population are already taking personal action to reduce their carbon emissions. 11% plan to within the next six months, and a further 11% plan to in more than six months' time.73

36.  Net zero can materially improve people's lives. The evidence submitted to the Review has shown clear opportunities in:

•  Cheaper bills and warmer homes. The UK's ambitious drive to create clean energy, for example through offshore wind, will mean that the average consumer bill in 2024 will be cheaper than it would have been otherwise.74 In any pathway to net zero, our homes will also need to become more energy efficient. British homes are currently the least well-insulated in Western Europe losing three degrees on average every five hours.75 A successful programme to improve the energy efficiency of new and existing homes will mean they retain heat more effectively, stay warmer for longer, and therefore reduce the need to have the heating on.

•  JobsAs described above, net zero provides a significant opportunity in terms of new and well-paid jobs. These will be available in many different parts of the country, offering long-term opportunity for many in some of the places that most need it. For example, the North East will likely benefit from the transition to net zero through 27,000 additional jobs by 2050.76

•  Access to nature. Planting trees is projected to contribute around 20%77 to reducing UK emissions - with the Government's current target to plant an area larger than Birmingham each year.78 This ambition is dovetailing with growing ambition from local areas and land managers to improve biodiversity on their land and restore depleted habitats. If we can also make more new green spaces accessible to the public and tourists, it could have a material impact on people's lives. We know, for example, that immersion in nature benefits people's health.79

•  Cleaner air. Air pollution contributes to the deaths of between 28,000 and 36,000 people in the UK every year. The costs to health and social care from poor air quality could reach £5.3 billion by 2035.80 In 2020 cars and taxis contributed 58% of domestic transport carbon monoxide emissions and 32% of nitrogen oxide emissions worsening UK air quality.81 Overall life-cycle emissions from EV with a decarbonised power system could be 70-90% lower than those of Internal Combustion Engine (ICE) cars.82 By 2035, Society of Motor Manufacturers and Traders (SMMT) analysis suggests that the BEV share of the total fleet will be 47% in their central scenario and 57% in their high scenario.83 This will make a material difference to keeping people healthier for longer.

•  Sustainable and cleaner travel. Electric vehicles, alongside increasing use of public transport, cycling, and walking also have benefits beyond air quality. They can reduce noise and congestion and provide more reliable and affordable services. Cycling and walking can deliver significant improvements in public health and wellbeing. Physical inactivity costs the NHS up to £1 billion a year, with further indirect costs of £8.2 billion per year, which active travel can reduce.84

37.  The benefits to net zero are not all guaranteed - and depend on decisions taken by the Government today. This Review has directly considered the risks that UK households might face from the transition to net zero. These include:

•  Cost17% of adults have no savings at all and one in ten have £100 or less in the UK.85 For many, there are real challenges to affording an electric vehicle or insulation for their homes - regardless of their personal support for net zero or the fact that it may save them money in the long-term. The Government has recognised this risk, but more action is needed to help people afford the changes they will need to make.

•  Access to new jobs. How many and what kind of jobs are created from the transition to net zero will depend on decisions taken by the Government and industry. Without an attractive investment environment, coupled with support for people to train and re-train, some of the opportunities will be lost.

•  Access to information. The public overwhelmingly support net zero86 - but the evidence shows people do not always know the right ways to reduce their emissions and capture the other benefits, such as warmer homes. More can be done to provide people with key information, so that those who want to act can do so in the best way for them.

38.  The Government must not shy away from the barriers to net zero - but instead engage the public in an open discussion that explains the benefits, trade-offs, and challenges. Pillar 5 considers these issues in detail.