UK pledge to tackle coronavirus and climate change

UK pledge to tackle coronavirus and climate change

explains budgetary adjustments in the United Kingdom. The government of the UK announced  a £30 billion pledge to offset the coronavirus impact on the economy. This pledge would be significant though it would be temporary. Rishi Sunak, the chancellor, assured citizens that he understood their fears and worries, therefore, put the measures towards dealing with the coronavirus pandemic. He promised the national health service that they would get whatever they need to cope with Covid 19.

Going by what  The Guardian pointed out, £18 billion of the budget of the government’s stimulus consists of general spending which should improve the economy.£12 billion is towards fighting the outbreak of Corona virus pandemic. Besides,  £1 billion is towards assisting gig economy workers and the self-employed. That money is to be split equally for hardships and benefits fund to be distributed by local authorities.

Companies whose employees did not exceed 250 would also receive compensation for the first 14 days of the sickness. Tax relief, loans and grants would also be given to small businesses. Altogether, these steps total up to a £30 billion package. The actions aim at cutting carbon emissions with the UK hosting the international climate summit in November. The government also promised £1 billion on ‘green transport solutions’. It included £403 million grants for new electric vehicles up to 2023. More funding is added for charging points for electric cars.

However, pledges made towards cleaning up the transport sector was offset. A commitment to spend £27 billion on more than 4000 miles of the roads was made. Sunak also scrapped off duty tax on fuel. He admitted that he was mindful of the cost on the environment.  According to the Carbon Brief, emissions of carbon have increased by 5 per cent now than they would be if the freezing of the fuel tax were not affected.

There were other new policies from the manifesto of the 2019 conservative election. They included £800 million towards storage and carbon capture and £640 million towards tree planting. To add on that, the treasury promised more measures on climate policy in months to come before COP26. The government also said it would increase development investment and research to £22 billion. The UK would also change how it funds science. Sunak confirmed £800 million on the lowest for a new research body. The body would be of the US Advanced Research Projects Agency.

Mr Sunak also announced an increase in the pension taper. This step would apply to high-income earners. It would mainly ease pressure on national health service workers who receive high tax bills due to long working hours. Although it was not on Sunaks speech, the  Red Book states that legislation will be enacted to protect payments made in cash by millions who depend on coins and notes every day. The stakeholders knew the cash system was at risk of collapsing. They were pleased with the government’s move, and they all looked forward to working together. They hoped that the commitment would be turned into action swiftly to protect cash whenever it’s needed.

In a nutshell, the government’s plan includes, help for small businesses, extending statutory sick pay, extra NHS funding, and business rate reforms. In total it would sum up to £30 billion. The government was, however,  more willing to spend more money if need be.

In my opinion, the government’s steps aimed at dealing with covid 19 pandemic were excellent. For instance, most people would not have to pay tax, but if they do, it would be at a very reduced rate as compared to earlier on. Tax on digital books, magazines and newspaper tax (VAT) is cut off. This initiative comes in handy as people are quarantining in their homes to stop the spread of the virus. Those online reading materials would help people by keeping themselves busy to avoid too much bored and also facilitate access to the information daily. Incase corona virus hits most of the country’s finances; most of the measures aimed at tackling the dilemma. If personal funds are affected for those on self-isolation, they will receive the statutory pay if eligible. This steps therefore translate to be working solely to benefit citizens and to prevent them from being affected and infected by the Covid 19 disease.

In my view, mass education would be a great tool too in helping the country fight the disease. Although financial preparedness is essential in dealing with any crisis, having basic knowledge and skills in dealing with an emergency. Among citizens, some do not understand how best to protect themselves apart from going into isolation. The government should also use part of the money to purchase critical protective gears to help both citizens and health workers in the fight against the disease. While the economy may be going down by day, it is more important to preserve health and save lives as the saying goes prevention is better than cure and wealth is health.