Clinging to confidence: Carbon reduction, tax stability and regulatory domain

It is perhaps common sense to argue that stable regulation (and indeed taxation) is, generally, more efficient regulation. What is less clear are the wider impacts of instability on taxpayer/ regulatee engagement. This paper aims to shed light on the CRC Energy Efficiency Scheme, a UK green tax and energy efficiency scheme that targets high-energy consumers in a bid to reduce carbon dioxide emissions. By drawing on an original, empirical study on the CRC Energy Efficiency Scheme, this paper explores some of the practical and political implications of an unstable, environmental regulatory regime.