The ‘carbon dividend’ is so elegant that it seems too good to be true. Governments should make it a post-pandemic priority

Over the past year – when societies around the world have had to grapple with their greatest challenge in decades – climate change hasn’t been at the top of the agenda. But that doesn’t mean it’s gone away. Far from it – in fact, we just experienced the hottest September in 141 years, and extreme warmth recorded in the Arctic continues a disturbing trend. When the focus turns back to this ongoing existential threat, hopefully we’ll have learned some lessons from the pandemic about what can be achieved when imaginative thinking is brought to bear.

Our approach towards tackling the climate crisis is necessarily going to be multipronged. But one powerful tool is that of a carbon tax. So far, however, only a few nations have taken this route. Why?

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