Proposals to boost green transport were outlined by Alistair Darling yesterday (December 9th) in his pre budget report.
Speaking at the House of Commons, Mr Darling announced that at least £160 million would be invested in such low-carbon initiatives.
He said: "We can be proud that the UK has led the way on meeting the Kyoto targets, introducing carbon budgets, and recognising too that developing countries need help to reduce their own emissions."
Mr Darling added: "Tackling climate change will bring new opportunities for new low-carbon industries. This will create the high-skilled, high-paid jobs crucial to our future prosperity."
The announcement comes as world leaders unite in Copenhagen to discuss how the world can reduce its carbon emissions.
Under the Climate Change Act, the British government is committed to reducing carbon emissions by at least 80 per cent form 1990 levels by 2050.
Transport currently accounts for almost a quarter of the UK's existing carbon levels.
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