Source · Select Committees · Environmental Audit Committee
Recommendation 65
65
Paragraph: 316
We support the recommendation of the Public Accounts Committee that the Treasury’s next Comprehensive Spending...
Recommendation
We support the recommendation of the Public Accounts Committee that the Treasury’s next Comprehensive Spending Review should set out how the full value of environmental impacts has been taken into account, and the impact of spending decisions on meeting government’s long-term environmental goals. To achieve this, every department needs to account for the costs and benefits to nature when appraising projects and policies. We reiterate the recommendation of the 2017–19 Committee that general taxation and spending should not be exempt from the Environmental Principles.
Paragraph Reference:
316
Government Response
Not Addressed
HM Government
Not Addressed
As set out in the government response to the PAC, at spending reviews, departments are required to assess the costs and benefits of their proposals—including climate and environmental impacts—following the framework set out in the Green Book. Treasury spending teams consider these impacts when assessing the value for money of any proposal. HM Treasury continuously improves the Green Book. For example, in 2018, the Green Book and its supplementary guidance were revised with support from the Natural Capital Committee to require more comprehensive appraisal of environmental impacts following a natural capital approach (Defra’s ‘Enabling a Natural Capital Approach’ (ENCA) provides further data, guidance and tools to support policymakers). HM Treasury has also convened a group of experts, including academic economists and scientists as well as practitioners, to produce supplementary guidance on Biodiversity Valuation for the Green Book, in addition to the guidance on natural capital. This world-leading guidance will complement the Environment Bill’s biodiversity net gain provisions in supporting better consideration of biodiversity in decision-making.