A major report on the UK’s net zero economy has found clean power and decarbonisation are no longer future ambitions – they are already a significant and growing part of the country’s industrial base.

The report by CBI Economics and the Energy and Climate Intelligence Unit (ECIU) examined t5he value of the UK’s current net zero economy and the opportunities it presents.

It revealed Britain’s net zero economy now underpins the jobs of 1.1 million UK workers, who together generate £105 billion in Gross Value Added (GVA) for the UK economy.

From solar panel installers to electric car production line engineers, these workers generate £119,300 in economic value per full-time job, around 1.5 times the national average – against the backdrop of the UK’s wider productivity stagnation.

This leads to higher wages, with net zero jobs earning £43,142, 11% higher than the current national average of £39,039.

It is the fourth annual report on the scale and nature of the UK’s net zero economy and identified 22,700 small firms (employing less than 50 people) and six ‘billion-pound’ economic hotspots spread across the UK including in Scottish Central Belt, West and North Yorkshire, and North Wales and Cheshire.

Louise Hellem, CBI chief economist, said: “This report makes clear the sustained scale of the opportunity in the UK’s net zero economy. It shows that clean power and decarbonisation are no longer future ambitions – they are already a significant and growing part of the UK’s industrial base.

“Supporting more than a million jobs across the country, the net zero economy is already shaping lives and livelihoods in every part of the UK, from the Central belt in Scotland to industrial heartlands in Yorkshire and the communities of Wales – well beyond the six £1 billion hotspots identified in this report. Across energy, manufacturing, services and supply chains, the UK has the expertise to build on this strength and capture even greater commercial opportunities.

“At a time when the UK must strengthen energy security and drive growth, the net zero economy is becoming central to the country’s future competitiveness. With global competition intensifying, government and business must work together to attract investment and scale up delivery. The UK cannot afford to step back from an industry already contributing £100 billon to the economy and with huge future growth potential.”

Peter Chalkley, director of the Energy and Climate Intelligence Unit, added: “Reaching net zero emissions is scientifically the only way to bring the climate back into balance and stop climate change but it’s now become a major part of the UK economy.

“Thousands of small businesses across the UK are the unsung heroes of this net zero economy, installing solar panels on rooves, manufacturing parts for electric cars and in doing so creating greater energy independence for the UK, shielding us from the oil and gas price crises of recent times.

“With the UK’s net zero workforce having surged past one million, communities from Hull to Ellesmere Port, and North Lanarkshire to Somerset need to see consistent stable policy into the future. With global demand now falling for petrol cars and installations of net zero tech like solar panels and heat pumps rising, the UK is in a global race to develop future-proof clean industries. Standing still or looking back just isn’t an option for job security.”

According to the Net Zero Tracker, 84% of global GDP is covered by country and US State-level commitments to reaching net zero emissions.

Reacting to the report, Rick Parfett, head of climate policy at environmental charity, WWF, said: “The way to protect nature and people from the impacts of climate change, including heatwaves, flooding, and droughts, is to reach net zero. The great news is that we don’t have to choose between a habitable planet and pounds in our pocket.

“Today’s figures show that the net zero economy is already a success story, delivering growth in every part of the UK and supporting over a million jobs. Clean energy and insulation will protect households from soaring energy bills, while helping nature recover will boost communities’ resilience to extreme weather. Reaching net zero is both good science and good economics.”