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Restoring peatlands, locking in carbon, reviving UK nature
For over a decade, we’ve partnered with businesses and land managers to restore peatlands across the UK. Through the carbon market, we direct private sector funding into these vital projects. This page answers common questions about peatlands, carbon credits, and how restoration helps tackle climate change, revive nature, and deliver wider co-benefits.
Peatlands are one of the world’s most powerful natural carbon stores; often called “carbon time capsules” because they lock away vast amounts of carbon accumulated over thousands of years. But their value doesn’t stop there. Healthy peatlands slow the flow of water to reduce flooding, act as natural firebreaks, filter and clean our water, and provide a unique habitat for wildlife such as breeding waders, adders, dragonflies, and rare plants.
The problem is, around 80% of the UK’s peatlands are degraded due to historic drainage, burning, extraction, and conversion to farmland or forestry. When damaged, they stop storing carbon and begin releasing it, turning these natural sinks into significant sources of greenhouse gases that accelerate climate change.
The takeaway is clear: we need to restore peatlands at scale. Carbon markets are helping make this happen. Since the launch of the UK Peatland Code, private sector investment has flowed into restoration projects across the country, turning bare and eroding peat into thriving, functioning ecosystems. As of late 2024, the UK Land Carbon Registry had more than 300 peatland projects in progress, covering over 44,000 hectares.
While the voluntary carbon market has at times been scrutinised by a broad spectrum of stakeholders, it remains one of the most effective tools we have for funding meaningful peatland restoration. With robust UK standards in place, we’re proud to channel this finance into projects that lock away carbon, restore nature, and deliver lasting benefits for people and the planet.
Read on to learn more about our work and find answers to your peatland questions.
What we've helped to achieve with UK peatlands


Duich Moss
On the windswept Isle of Islay, Scotland, Duich Moss is a richly biodiverse, low-domed bog and internationally protected wetland. This ambitious peatland restoration project will rewet and repair a landscape once threatened by industrial peat extraction, helping to safeguard rare species and lock in thousands of tonnes of carbon.


Cùl Mòr
In the heart of the Scottish Highlands, the Cùl Mòr restoration project is helping to bring a landscape back to life. Restoring degraded peatland supports climate action, protects biodiversity, and strengthens a globally and nationally important ecosystem.


Bwlch y Groes
In Wales, along the border of Snowdonia National Park, a degraded stretch of upland bog is being brought back to life. The Bwlch y Groes project restored damaged peatland, helping to lock in carbon, restore biodiversity, and safeguard water quality in one of the country’s most ecologically important upland areas.
Available Projects
FAQs
What are the signs that a peatland is healthy and functioning?
Healthy peat is dark brown to almost black, clay-like in texture, and moldable — a sign it can retain large volumes of water. Functioning peatlands are typically waterlogged due to a high water table and support a rich mix of peat-forming vegetation, such as sphagnum mosses, alongside other plant species. This diverse habitat, in turn, sustains a wide variety of wildlife.

How can you tell if a peatland is degraded?
Unhealthy peat is often light brown, very crumbly and will not hold water. Other signs include:
- Erosion: Visible tufts of peat indicate where the surrounding peat has been completely eroded.
- Bare peat: Exposed peat surfaces are open to the air, causing oxidation and carbon loss.
- Lack of vegetation: The absence of peat-forming plants like sphagnum mosses signals poor peatland health.

Why are peatlands degraded in the UK?
Decades of intensive land management, including drainage, arable farming, atmospheric pollution, peat extraction, muirburn, and overgrazing, have damaged around 80% of the UK’s peatlands. These degraded peatlands are drying out and oxidising, releasing vast amounts of greenhouse gases that had been stored for hundreds or even thousands of years.
In 2017, degraded peatlands in the UK were estimated to emit 23 million tonnes of CO₂e annually, about 1 in every 20 tonnes of the UK’s greenhouse gas emissions (GHG) that year.
Protecting remaining peatlands and restoring their healthy function is essential for the UK to meet its climate targets. For example, the carbon stored in Scottish peatland soils alone is equivalent to 140 years’ worth of Scotland’s total annual GHG emissions.
Why do we need to restore peatlands in the UK?
Functioning peatland ecosystems are some of the most carbon-rich terrestrial ecosystems on earth, storing up to 30 times more carbon per hectare than a healthy tropical rainforest. Globally, peatlands lock up an estimated 550 billion tonnes of CO₂e. To put this figure into context, the entirety of global CO2 emissions in 2019 was 36.44 billion metric tonnes.
In the UK, as a result of decades of land management practices that have disrupted ecosystem processes, 80% of peatlands are degraded. Where peatlands could be an effective natural carbon sink, UK peatlands are currently emitting vast quantities of greenhouse gases (GHG) into the atmosphere, accounting for at least 3.5% of the UK’s total emissions.
The Office for National Statistics estimates that fully restoring the UK’s degraded peatlands could cost £8–22 billion over the next century, but would save £109 billion in avoided carbon emissions alone. And the benefits go beyond carbon: healthy peatlands also improve water quality, reduce flood risk, and support biodiversity.
What is peat used for today?
Peat is often used in two products commonly found in British homes: compost and whiskey.
Gardeners who are using multi-purpose compost, both for individual and commercial purposes, may be unaware that these products contain up to 90% peat. It’s been used by commercial growers and at-home gardeners since the mid-20th century. According to the BBC, “The sale of bagged compost accounts for 50% of extracted peat sold in the UK…”
Despite peat-free compost alternatives existing, in 2022, the UK was the 10th largest importer of peat in the world, primarily from Ireland and the Netherlands. On average, annual UK peat sales would fill 29,000 large shipping containers and could release up to 850,000 tonnes of CO2.
The Scotch Whisky industry uses peat to give barley a distinctive smoky character during malting, creating the unique peaty flavour of their whiskies.
A ban on peat-containing products was meant to come into effect in 2024; however, the UK government recently confirmed that “while some peat-containing products will be banned from shelves in 2027, others will be exempt from a ban until 2030.” Wildlife Trust
Burning peat as a fuel also still exists, especially in island communities where firewood, mains gas, or other fuel types are not easily accessible.
Co-benefits of peatland restoration
Peatland restoration delivers far more for the planet than avoided emissions.
Peatland restoration articles
UK woodland creation
Discover how UK woodland creation stores carbon, restores nature, and supports net-zero goals. Explore carbon credits, woodland projects, and their benefits.
International carbon projects
Learn about global carbon projects that restore ecosystems, reduce emissions, and create lasting benefits for nature, people, and the climate.











