British Industrial Competitiveness Scheme
The British Industrial Competitiveness Scheme (BICS) is a new intervention as part of the UK Industrial Strategy.
This scheme directly addresses one of the most pressing challenges facing many businesses today. Namely, how to remain globally competitive while navigating some of the highest industrial electricity costs in Europe.
By providing eligible manufacturing businesses with exemptions from the indirect cost of the Renewables Obligation, Feed-In Tariffs and Capacity Market schemes, BICS seeks to reduce cost pressures and support the long-term viability of our most strategically important industries.
This consultation seeks views on how to determine which businesses that are heavy users of energy, and businesses in their supply chains, should be eligible for the support scheme.
UK electricity prices are high due structural and policy factors. British wholesale electricity costs are relatively high because of a reliance on natural gas for electricity power generation, periods of higher carbon prices on electricity generation due to the Carbon Price Support and lower levels of interconnection than within mainland Europe.
The government launched this consultation on November 24th and seeks views from all stakeholders with an interest in the proposed scheme, including from manufacturing businesses (irrespective of whether they are likely eligible for BICS), other electricity consumers (including households and non-manufacturing businesses), trade bodies, consumer associations, energy suppliers and other interested parties.
The scheme as proposed would launch in 2027, but there have been calls from within industry such as from MAKE UK for an earlier start and a broader remit.
The consultation closes on January 19th 2026. A summary of responses and government response to this consultation will be published within 12 weeks of the end of the consultation period.
To read the consultation full guidance: please visit here.
To access the consultation online form: please visit here.