An analysis published by Bruegel on Tuesday 19 December shows that Europeans, while in favour of ambitious measures to combat global heating, are increasingly concerned about the financial impact of the EU’s climate policies.
The research published by the think tank shows that these policies can be politically costly, particularly in contexts of high inequality and low social support.
The study examined the willingness of citizens in five EU countries to accept income losses in order to achieve higher climate targets.
The study shows that people’s sensitivity to negative effects on their personal income is significant, with a 7.5% drop in support for every 1% reduction in personal income due to climate policy.
However, gains in personal income have less impact: a policy that reduces the EU’s climate target to 45% by 2030, but increases personal income, attracts less support than a policy that maintains the target at 55% with no impact on income.
Europeans support the fight against climate change but are reluctant to suffer direct reductions in quality of life. According to Bruegel, to maintain political support, EU climate policies need to consider compensation mechanisms and increase fiscal capacity to manage the transition without disproportionate negative effects on incomes.
To read the full review go to https://aeur.eu/f/a83 (Original version in French by Nithya Paquiry)