Question to the HM Treasury:

To ask the Chancellor of the Exchequer, with reference to the green financing programme, what factors will determine the issuing of (a) sovereign green gilts and (b) green savings bonds.

The Green Financing Programme raises financing which is earmarked towards eligible green expenditures, as set out in the Green Financing Framework, which is available at the link below:

www.gov.uk/government/publications/uk-government-green-financing

The amount of eligible green expenditures determines the total green financing that is needed, and therefore the size of the Green Financing Programme each year.

The amount of financing raised through Green Savings Bonds issued by National Savings and Investments is influenced by wider market conditions and how competitive the Green Savings Bond is relative to comparable retail savings products at the time. As at 31 March 2023, the total amount invested in Green Savings Bonds was £915.7 million.

The majority of green financing that is needed is raised via issuance of green gilts through the Debt Management Office.

The overall planned amount of financing to be raised via issuance of green gilts is set out before the start of the financial year in the Debt Management Report. The 2023-24 Debt Management Report states that the government plans to issue £10bn of green gilts this financial year, subject to demand and market conditions., The Report is available at the link below:

www.gov.uk/government/publications/debt-management-report-2023-24