Climate Change: UK Policy and Regulation

In December 2020, the UK communicated its first Nationally Determined Contribution (NDC) to the United Nations Framework Convention on Climate Change (UNFCCC) in line with Article 4 of the Paris Agreement. In its 2030 NDC, the UK committed to reducing economy-wide greenhouse gas emissions by at least 68% by 2030, compared to 1990 levels. In January 2025, the UK published its 2035 NDC, committing to reduce all greenhouse gas emissions by at least 81% by 2035, compared to 1990 levels.

International aviation emissions were not included as part of these NDCs.

The Department for Energy Security and Net Zero (DESNZ) is responsible for the strategic oversight of the UK’s international climate and energy policy.

The Carbon Budget and Growth Delivery Plan (CBGDP), published in 2025, sets out UK Government policies and approach to reducing emissions in line with legally binding carbon budgets between now and 2037, the end of the Carbon Budget 6 period. It details how the UK will deliver its Carbon Budgets 4, 5, and 6, as part of its commitment to achieve a successful transition to net zero emissions by 2050, and its Nationally Determined Contributions (NDCs) for 2030 and 2035.

The CBGDP shows how the aviation sector will contribute to delivering economy-wide carbon budgets, including through:

• Mandating the use of sustainable aviation fuel (SAF);
• Funding Zero emission flight R&D through the Aerospace Technology Institute;
• Funding R&D to support the development of more efficient aircraft;
• Supporting the Civil Aviation Authority to develop a regulatory framework for nascent technology;
• Promoting continued improvements in efficiencies of airspace, aircraft and operations;
• Including coverage of flights from the UK to the European Economic Area and Switzerland in the UK Emissions Trading Scheme (UK ETS) and implementing and working to strengthen the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA); and
• Implementing the International Civil Aviation Organisation’s (ICAO) CO₂ standard for new aircraft

In preparing this package of proposals and policies, the UK Government worked with devolved governments to deliver its UK-wide carbon budgets. In previous years, each Devolved Administration has also published a plan outlining how it will reach net zero emissions under their respective legislation. These plans are as follows:

Scotland  

Under Scotland’s statutory framework, a Climate Change Plan (CCP) setting out policies and proposals to meet the emissions reduction targets, must be published at least every five years and prepared with reference to a set of statutory Just Transition and Climate Justice principles. In March 2021, the Scottish Government updated its CCP (which should be read alongside the original 2018 Plan), setting out over 200 policies and proposals to cut greenhouse gas emissions across all sectors of the Scottish economy over the period to 2032. With respect to aviation, Scotland’s policies include an aim to decarbonise scheduled flights within Scotland by 2040.

In September 2025, Scottish Parliament sought views on what stakeholders believe should be included in an updated draft of the CCP. This updated draft of the CCP, due for publication in due course, will be the first time the Scottish Parliament has considered a statutory CCP in draft form since the withdrawal, and replacement, of the 2030, 2040 and annual emissions reduction targets with new interim emissions reduction targets for 2026 – 2040, using a system of five-year carbon budgets expressed as an amount in carbon tonnage.

Wales 

Under the Environment (Wales) Act 2016, each new administration is required to set out a plan containing policies and proposals to meet the carbon budget. The Welsh Government published Net Zero Wales, in October 2021, covering Wales’s second carbon budget period 2021–25. It contains 123 policies and proposals across all ministerial portfolios and looks beyond to start building the foundations for Wales’s third carbon budget and 2030 target, as well as net zero by 2050. The plan focuses on the need to “outperform” this second carbon budget of 37% average reduction in emissions, in line with the CCC’s recommendation. This is because Wales's third carbon budget (2026–30) requires an average reduction of 58%, reflecting the step change Wales needs to make if its actions are to have enough time to take effect.

Northern Ireland  

In October 2021, Northern Ireland’s Department of Agriculture, Environment and Rural Affairs (DAERA) launched a public consultation on a Green Growth Strategy for Northern Ireland. The Green Growth Strategy is the Northern Ireland Executive’s multi-decade strategy, balancing climate, environment and the economy in Northern Ireland. It sets out the long-term vision for tackling the climate crisis and is underpinned by the provisions of the Climate Change Act (Northern Ireland) 2022 with which it closely aligns. This longer-term Strategy will be delivered through a series of Climate Action Plans aligned to carbon budget periods. In June 2025, Northern Irelands’ first draft Climate Action Plan was published for consultation, outlining policies and proposals to meet its 2023–2027 carbon budget which aims to reduce emissions by 33% compared to the 1990 baseline. The Green Growth Strategy is currently awaiting sign off by the Northern Ireland Executive.

In addition, The Path to Net Zero is Northern Ireland’s current energy strategy and sets a long-term vision of net zero carbon and affordable energy for Northern Ireland by 2050. As part of the Strategy, the Northern Ireland Executive has committed to publishing Annual Progress Reports which outline progress made against the actions set out in the Strategy. These progress reports will also present new and updated actions each year. In March 2025, Northern Ireland’s Department for the Economy (DfE) published the latest Energy Strategy Action Plan in pursuance of this commitment.

The UK Government’s Sustainable Aviation Fuel (SAF) Mandate aims to reduce emissions from UK aviation fuel by increasing the percentage of UK jet fuel demand met by SAF.

The are three main pathways to create SAF:

• HEFA – HEFA (hydro processed esters and fatty acids) is a fuel developed from oils or fats, such as used cooking oil.
• Non HEFA – this pathway includes various methods of making advanced fuels from wastes and residues, such as fuel made from municipal solid waste.
• Power to liquid – this pathway includes fuels made from low carbon power sources, such as from renewable energy.

The SAF Mandate has two obligations: a “main obligation” and a “power-to-liquid” obligation. The main obligation is set at 2% of total UK jet fuel demand by 2025, increasing linearly to 10% in 2030 and 22% in 2040. From 2028, the power-to-liquid obligation will come into force, committing industry to increasing power-to-liquid fuels to 0.2% of total UK jet fuel demand, rising to 3.5% in 2040. To support the development of more advanced fuels, the SAF Mandate will cap the use of HEFA to meet obligations. It will allow up to 100% in 2025–2026, decreasing to 71% by 2030 and 35% by 2040.

The SAF Mandate is the UK’s key mechanism for securing the demand for SAF by obligating the supply of an increasing amount of SAF in the overall UK aviation fuel mix and incentivising SAF supply through the award of tradeable certificates with a cash value. Fuel suppliers must obtain certificates from the Department for Transport (DfT), demonstrating that their fuel is eligible. The number of tradeable certificates a supplier earns is based on the greenhouse gas savings their SAF achieves.

As of 1 January 2025, fuel suppliers are no longer able to claim for support for SAF production from the Renewable Transport Fuel Obligation (RTFO). To support growing domestic SAF demand, the UK Government has proposed a Revenue Certainty Mechanism (RCM) for SAF producers who are looking to invest in new plants in the UK. On 16 October 2025, the DfT published an open consultation on levy-design which will fund the SAF RCM. Government is expecting that all required legislation for the RCM will be laid by the end of 2026.

From 1 January 2021, the UK Emissions Trading Scheme (UK ETS) replaced the UK’s participation in the European Union Emissions Trading Scheme (EU ETS). The UK ETS uses a system of emissions allowances, with each allowance being equivalent to one tonne of CO₂. This means that one UK ETS allowance allows an aircraft operator to emit one tonne of CO₂. The UK ETS for aviation applies to an aircraft operator that performs aviation activity above certain thresholds.

Where use of SAF that meets UK ETS eligibility requirements is reported in the UK ETS, it is zero rated and aircraft operators can claim a corresponding reduction in their UK ETS obligations.

In May 2025, the UK Government and European Union agreed, as part of the Common Understanding Summit, to work towards linking the UK ETS and EU ETS. This follows the commitment made in the 2021 UK-EU Trade and Cooperation Agreement to co-operate on carbon pricing and give serious consideration to linking carbon pricing systems.

The effects of climate change are already being felt by the aviation industry, for example through flight delays caused by severe weather, extreme heat melting runways or the increased frequency and severity of turbulence. The Intergovernmental Panel on Climate Change (IPCC) predicts that the occurrence of extreme weather events is set to increase, even at 1.5˚C of global warming. This increases the importance of having in place effective adaptation measures to mitigate against the impacts of climate change as far as possible.

The Climate Change Act 2008 sets out the policy framework to ensure that the UK adapts to climate change, as well as reducing its domestic emissions. The framework includes commitments to produce a UK Climate Change Risk Assessment to identify climate risks, followed by a National Adaptation Programme to address the risks identified, every five years.

To ensure essential services and infrastructure are prepared for climate change, section 62 of the Climate Change Act 2008, known as the Adaptation Reporting Power (ARP), gives the Secretary of State for the Environment the power to direct reporting organisations (that is those with functions of a public nature or statutory undertakers) to produce reports detailing:

• the current and future projected impacts of climate change on their organisation;
• proposals for adapting to climate change; and
• an assessment of progress towards implementing the policies and proposals set out in previous reports.

The provisions in Section 62 of the Climate Change Act 2008 give the Secretary of State for the Environment the power to mandate reporting, although this power has not been exercised since ARP round one. Instead, Government invites infrastructure providers and public bodies to report on a voluntary basis to ensure the process is flexible, responsive and proportionate. The ARP was introduced to help ensure reporting organisations are taking appropriate action to adapt to the future impacts of climate change. It helps do this both directly, through engaging organisations in reporting, and indirectly, through raising awareness, building capacity in organisations, and making examples of good practice publicly available. Examples of reports published for the aviation sector in the most recent round of ARP include reports by the Civil Aviation Authority, Heathrow, and National Air Traffic Services.

Under the five yearly cycle of the Climate Change Act 2008, the Government is required to set out and consult on its strategy for reporting. This strategy must be laid in Parliament alongside the National Adaptation Programme. Further information regarding the Government’s role and powers with respect to climate change adaptation can be viewed in this policy paper.