The UK government has announced plans to auction £3.25 billion in green gilts, which will mature in 2037. The move is a part of the government's efforts to fund its green agenda and reduce its carbon footprint. Green gilts are a type of bond that is specifically designed to fund environmentally friendly projects, such as renewable energy and green infrastructure.
The auction is expected to be popular among investors, particularly those who are looking to invest in green and sustainable assets. The move is also seen as a step in the right direction by the government, which has set ambitious targets to reduce carbon emissions and meet its net-zero goals by 2050.
The green gilts will be auctioned in two tranches, with the first tranche of £1.5 billion maturing in 2035 and the second tranche of £1.75 billion maturing in 2037. The auction is expected to be held in the coming weeks, with the exact date to be confirmed by the UK Debt Management Office.
The move is also expected to boost the UK's green finance sector, which has been growing rapidly in recent years. The sector is seen as a key area for growth and investment, with the government looking to make the UK a leader in green finance.