UK Local Authorities Plan £67 Billion Climate Projects to Boost Resilience and Cut Emissions, CDP Report Reveals

UK local authorities in the United Kingdom are significantly scaling up their climate ambitions, identifying a total of £67 billion worth of climate infrastructure projects aimed at reducing emissions and enhancing resilience against climate hazards.

According to a new CDP report titled From disclosure to action: Strengthening climate and economic resilience in UK communities, 96% of local authorities now have formal climate action plans, a sharp increase from 58% in 2018.

These authorities represent over half of the UK’s population, emissions, and GDP, underscoring the critical role local governments play in meeting national climate goals amid projections that climate disruptions could shrink the UK’s GDP by more than 7% by 2050.`

Despite this surge in commitment, budget constraints remain a major barrier, with 48% of local authorities citing limited financial capacity as the top challenge to implementing climate projects.

The report highlights 333 local climate infrastructure projects requiring immediate funding of £27 billion, but nearly half of the councils face difficulties securing the necessary investment.

Climate hazards such as extreme heat and flooding threaten to disrupt essential public services, with 83% of authorities warning that these risks could shut down critical health and social care operations, particularly impacting vulnerable groups like the elderly, people with health conditions, and low-income households.

Local authorities are already delivering tangible benefits through their climate initiatives, including reduced energy costs, job creation, and lower fuel poverty.

Notable examples include Manchester City Council retrofitting 700 social housing units to cut emissions by up to 2,000 tonnes annually, Birmingham’s Tyseley Energy Park integrating zero-carbon technologies, Brighton & Hove’s LED streetlight replacement program reducing electricity use by nearly half, and the Greater London Authority’s Business Climate Challenge helping workplaces reduce energy consumption.

However, as Hanah Paik, Interim Director of Cities, States and Regions at CDP, emphasized, without sustained, long-term financial support, the pace of local climate action risks slowing, jeopardizing both local progress and national climate targets.

£67 billion of local-authority climate spend reshapes UK procurement and infrastructure expectations at ground level, and the pipeline touches renewables, transport, retrofits and streetlighting all at once - it's where corporate bidders quietly build their public-sector revenue narrative for the next decade. Our climate-action and impact-assessment teams help clients evaluate what these programmes mean for capex planning and disclosure alignment.