Policy Update: UK Government on Environment & Energy

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Policy Update: UK Government on Environment & Energy

Blanket bog on Dartmoor. Credit: Anton Christensen.

In the past few weeks, the UK Government has released three significant publications — with peatland restoration at the heart of their commitments for environment and energy.

England Policy Updates

The UK Government has recently published several important documents shaping environmental and energy policy. Below is a concise overview of three key publications, highlighting their relevance and main commitments to UK peatlands. These are the:

  • Environment Improvement Plan (published 1st December)
  • Carbon Budget and Growth Delivery Plan (29 October)
  • Unlocking the Benefits of the Clean Energy Economy (29 October)

It is worth reflecting that a forthcoming Land Use Framework is also expected, which will be instrumental in guiding how peatland conservation, restoration and management will be viewed alongside forestry, agriculture and development. We also await key statistics from the UK’s Natural Capital Accounts (2025) which is due to be released by the Office for National Statistics on 5th December. 

Environment Improvement Plan (published 1st December)

The EIP sets out England’s long-term environmental commitments, with a positive and strong focus on peatland restoration as part of wider climate and biodiversity goals.

Key points:

  • Restates the prior commitment from the Net Zero Strategy (2021) to restore 280,000 hectares of peatland by 2050.
  • Actions include:
    • Legislation to ban the sale of peat and peat-containing products (timing still uncertain - “when parliamentary time allows”).
    • Investment of £85 million by 2030 in peatland restoration, aiming for up to 23 MtCO₂e savings.
    • Funding for water infrastructure, facilitation grants, and paludiculture trials to support sustainable farming practices.
    • Restoration of 40,000 hectares by April 2030, supported by the Nature for Climate Peatland Grant Scheme and future Landscape Recovery projects.
    • Creation of a geospatial Peatland Restoration Register (2026) to track progress.

Carbon Budget and Growth Delivery Plan (29 October)

This plan consolidates government actions to meet carbon budgets 4–6 (2023–2037), reaffirming peatland restoration as a central climate measure. There is a great deal of overlap with points raised in the more recent EIP.

Key points:

  • Reiterates the 280,000 hectares peatland restoration target by 2050.
  • Reports 30,000 hectares already restored under the Nature for Climate Peatland Grant Scheme, with 35,000 hectares more anticipated via Landscape Recovery. Interim restoration targets are 6,900 ha by 2025, 7,943 ha by 2030, 9,208 hectares by 2035.
  • Emphasises the role of private finance and carbon credits to meet restoration goals. “The Government is implementing a range of policies that will mobilise private investment. These include working with the IUCN to attract investment via carbon credits through the Peatland Code.” (Appendix B, p77-78)
  • Commits to:
    • Ending peat sales in horticulture (legislation pending).
    • Investing in water infrastructure and paludiculture trials for lowland peatlands.
    • A roadmap for paludiculture. Early discussions we have had with Defra on this include adding eligible paludiculture condition categories to the Peatland Code and looking at the challenges of additionality and permanence for these managed peatlands.
    • Developing Local Nature Recovery Strategies (LNRSs), expected by December 2025, to guide interventions.
  • The document notes potential regulatory approaches to incentivise responsible peatland management, including rewetting lowland peat soils. “Regulatory approaches, for instance to water table depths or water management, could incentivise landowners to move towards managing peatland more responsibly, therefore reducing GHG emissions.” (Appendix B, p140)
  • It also highlights the role of the UK and the Carbon Budget as being an International Enabler. The UK's international finance commitment between 2021-2026 is £11.6bn to ensure a balance of mitigation and adaptation within low- and middle-income countries to increase their level of ambition in their NDCs. This includes investing more in the protection and restoration of critical ecosystems, such as peatlands. 

Unlocking the benefits of the clean energy economy (29 October)

This publication frames peatland restoration as part of a wider strategy to safeguard ecosystems that underpin food production and climate resilience. It directly links climate and nature recovery with economic growth, emphasising the role of land management in achieving environmental and energy goals.

Key points:

  • Page 19 reiterates the £85 million investment in peatland restoration by 2030 using the phrase ‘improving and restoring’.
  • It also highlights broader commitments to:
    • Protecting the natural world (section 6) to reduce flood risks, improve water quality, and enhance air quality. “We will protect our countryside and increase access to nature, so the British people can enjoy what is rightfully theirs.”
    • Supporting farmers (section 19) with £2.7 billion per year for farming and nature recovery, including peatland restoration. “This investment will help protect the ecosystems that underpin food production and contribute to meeting environmental targets on air and water quality, biodiversity, habitat restoration and reducing greenhouse gas emissions.”