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BREAKING: Labour considering £5bn windfall cow tax to tackle climate change

By Tom Winnifrith | Tuesday 1 April 2025


 


In an interview with the BBC due to go out later today, climate change secretary Ed Milliband says that he and chancellor Rachel Reeves are discussing a tax on the UK’s 9.2 million cows with the £5 billion proceeds used to accelerate the drive to net zero and to create thousands of green jobs as a bonus. “It is a win win win” said Milliband.

The Government has identified dairy farmers as being among the richest farmers and so argues that a £500 per cow windfall tax would be something that farmers could easily absorb. Cows produce methane which, Milliband argues, is a key driver of global warming.

Hence if some farmers cull herds that will combat climate change but the Government argues that most are so profitable they can take the one off tax without passing on price increases. “It is right that the polluter pays” Milliband told the BBC in the interview that will go out this evening, April 1st during the 6 O’Clock News.

Net proceeds of almost £5 billion from the windfall tax will be reinvested in creating green jobs so the proposed tax will accelerate the drive to net zero and deliver real economic growth according to an analysis by the BBC Verify Unit. 
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