Covid-19 provides Government with an opportunity to move towards a zero carbon Britain

Luke Murphy, head of the Environmental Justice Commission at think tank IPPR, says the “rhetorical commitment is there” but warns the Government needs to “scale up the investment and policy ambition”.

“It is that kind of moment where the Government has the opportunity to step back and set the economy on a new path.”

Murphy explains retrofitting housing with low carbon technology can deliver a “big contribution” to cutting emissions while also boosting a “hugely job rich sector”.

He adds that upgrading transport infrastructure and backing nature restoration projects should also be key planks in greening the recovery. Treasury officials are understood to be reviewing a list of shovel-ready restoration projects to back as part of a green push. Many of the projects under consideration have seen funding cut by Covid-19 and those put forward include peatland restoration, improving public access to nature, and creating wetlands and woodland.

The Government’s plans for huge infrastructure spending could be given a green tinge by pumping funds into electrifying rail lines and electric buses, for example. It has committed to a £100bn “infrastructure revolution” but is late on delivering the details of the proposed spree. The Chancellor has already earmarked money for electric car charging infrastructure and a fund for investing in carbon capture and storage.

However, the scale of the investment required to meet the net zero 2050 target is staggering with IPPR estimating that an additional £33bn of spending every year is needed. It is understood that a coalition of environmental groups will urge the Government in the coming weeks to create a new state-backed “climate development bank” to channel the funds needed.

Anneliese Dodds, the shadow chancellor, argues that adopting the “more environmentally focused approach to the recovery” taken in the likes of France and Germany is “critical” for both jobs and the climate.

Dodds urges the Chancellor to help retrain and bolster the skills of the workforce to help them get jobs in green technologies. Sunak is said to be drawing up plans to generate new “green jobs” and create a skills fund to retrain workers for a green revolution.