The UK Government risks sending a ''worrying signal'' by rolling back on policies to support clean technology, business leaders have warned.
John Cridland, director general of the CBI, said businesses want to be part of the solution to tackling climate change and the green economy is ''brimming with opportunity''.
But the Government has rolled back on renewables support and is sending mixed messages on backing for energy efficiency, he warned.
Ministers have announced curbs to solar and onshore wind subsidies and other support, abandoned the Green Deal home energy saving loans scheme and axed plans to make all homes zero carbon by 2016 since the general election.
Mr Cridland said: ''The green economy is an emerging market in its own right, brimming with opportunity, and the UK has built up real credibility on climate leadership and low carbon investment.
''Yet, with the roll-back of renewables policies and the mixed messages on energy efficiency, the Government risks sending a worrying signal to businesses."
His comments echo those of the industry body Scottish Renewables, which has warned that the early end of a subsidy scheme for onshore wind farms and other UK Government energy policy decisions could cost billions in investment and threatens jobs in the sector.
Niall Stuart, chief executive, said: "The UK Government is clearly committed to meeting our climate change targets but that will require further growth of all forms of renewable energy. That is being undermined by the lack of a clear route to market, with every part of the sector wrestling with a huge amount of uncertainty."
Scotland would be home to 70% of planned future wind farms and is therefore disproportionately affected by the decision to end the subsidy early, the Scottish Government has warned.
SNP Westminster spokesman on energy and climate change Callum McCaig said: "The UK Government must listen to calls from First Minister Nicola Sturgeon and ensure a fair grace period for onshore wind developments that are being hit by plans to close the Renewables Obligation a year early."
A spokesman for the Department of Energy and Climate Change said the UK Government is pushing for a "strong global deal" in the Paris climate talks that "creates a level playing field for business and drives innovation".
He also said the Government's priorities are to reduce emissions in the most cost-effective way and keep bills as low as possible for consumers and businesses.
''Government support has already driven down the cost of renewable energy significantly, helping technologies to stand on their own two feet.''
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