The transition to a greener economy in the UK is worth £71bn and has brought investment and job opportunities to areas that were previously experiencing industrial decline, the Confederation of British Industry (CBI) has found.
The report, titled 'Mapping The Net Zero Economy', showed that over 20,000 businesses are currently involved in the drive towards net zero emissions.
It also noted the green economy is responsible for 840,000 jobs in sectors such as renewable energy and waste management.
Researchers found that Scotland and some English regions, such as Tyneside and Merseyside, have performed better than average in the green economy, with average wages significantly higher than the national average.
However, the report warned that the UK's position as a leader in green technology is at risk due to increased competition from other countries.
The passing of the Inflation Reduction Act in the US last year has changed the global dynamic for green investment, with many companies now seeing the US as the best destination for their money.
The report also criticises the lack of consistency in UK policy and restrictive planning regulations for onshore wind and solar as holding back investment from the private sector.