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How much does carbon offsetting cost?

There is no fixed price for carbon offsetting. A verified carbon credit represents one tonne of carbon dioxide equivalent (CO2e), but the price paid for that credit can vary.

Prices are influenced by factors including the type of carbon project, the quality and integrity of the credit, how permanent the carbon reduction or removal is and the market in which the credit is sold.

The Woodland Carbon Code reported an average 2025 price of £28.32 per woodland Pending Issuance Unit, while Peatland Code Pending Issuance Units averaged £39.57. These are units representing predicted future carbon reductions or removals rather than verified carbon units, so they should not be treated as a universal price for a carbon credit.

Prices also vary across the international voluntary carbon market. MSCI reported that its Global Carbon Credit Price Index averaged $3.50 per tonne of CO2e in 2025, while its index for credits rated BBB and above averaged $6.80. Therefore, buyers are paying a premium for credits considered to have higher integrity.

More recent data from Sylvera found that the average price paid per carbon credit retired during the second quarter of 2026 was $6.41, compared with $5.29 during the same period in 2025. It also found substantial price differences between higher and lower-rated credits within individual project types.

Businesses should therefore consider the quality and suitability of a carbon credit alongside its price rather than choosing an offset simply because it has the lowest cost per tonne.

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