Stern favours world carbon tax

Sir Nicholas Stern has spoken out in favour of a global carbon tax, warning that global warming represents “the biggest market failure the world has ever seen”.

The former World Bank chief economist and author of the Government-commissioned report on the economic effects of climate change, said environmental taxes should play an essential role in combating global warming.

Sir Nicholas said that ruling out green taxes was “a risk we cannot take”.

In a debate at the World Economic Forum, Sir Nicholas, who has since left the Treasury, argued that environmental taxes – such as those on transport and energy – should not be discounted in favour of worldwide carbon markets.
Telegraph