Caroline Lucas leads call for £70bn 'green quantitative easing' programme
Green party MP Caroline Lucas is calling for a £70bn programme of 'green quantitative easing' (GQE) to be launched, in a bid to set the country on track for a "genuinely green economy".
This follows an announcement from the Bank of England to inject £50bn 'quantitative easing' into the economy, and a report by University of Southampton director of the Centre for Banking, Finance and Sustainable Development professor Richard Werner which outlines how GQE would help boost the UK's green economy.
According to Mr Werner, GQE would reach parts of the economy that traditional QE has failed to do, making a real difference in terms of jobs and the environment.
He said: "We need a different kind of QE, to help the wider economy directly and to implement some badly needed green projects that would enhance the sustainability of the economy and improve the environment--as well as creating thousands of new jobs."
Ms Lucas welcomed the report and said that "it's time for the Bank of England to help create jobs, stabilise the economy, and support the environment through a package of Green Quantitative Easing.
"I will be calling upon MPs of all parties to support these proposals, and urging my Parliamentary colleagues on the Treasury Select Committee to raise the issue of GQE when they next question Sir Mervyn King."
Furthermore, renewables campaigners The Green New Deal Group has called for the GQE to initially spend up to £20bn on fitting free solar photovoltaic (PV) panels for about 3m south facing properties.
It then calls for a further £16bn to be spent kick-starting the Government's Green Deal energy efficiency programme for homes.