Stern Stuff

Nick Stern’s report presents the Treasury with a seemingly indisputable economic argument. Tackle climate change, it says, and do it now. Yes, chancellor, he’s talking to you. Though you can’t go it alone - it’ll require internationally agreed measures too.

The cost? It’ll mean spending just 1% of GDP per year. The alternative? Far more costly damage - amounting to between 5% and 20% of annual GDP by the end of the century.

This is a former World Bank chief economist speaking - in language that  throws down an obvious challenge to business. Climate change is “the greatest market failure ever seen”. But Stern says his conclusion is “essentially optimistic”. It’s a call to action. “We can grow and be green.” Need more? The report’s available from: www.hm-treasury.gov.uk   

12 January 2007