energy solutions for UK manufacturers

British Industrial Competitiveness Scheme (BICS) — What Manufacturers Need to Know

The Government has launched the British Industrial Competitiveness Scheme (BICS), a significant new electricity cost relief programme for eligible manufacturing businesses in Great Britain. The scheme forms part of the Modern Industrial Strategy and is designed to reduce the burden of electricity policy costs for UK manufacturers, helping them compete more effectively on the global stage.

energy solutions for UK manufacturers

What does it offer?

BICS provides discounts of up to £40/MWh through exemptions from the Renewables Obligation (RO), Feed-in Tariff (FiT) and Capacity Market (CM) levies. Where a site manufactures only eligible products, it will normally receive a 100% exemption. Where a site manufactures both eligible and ineligible products, a pro-rating methodology is used to ensure support is proportionate to the level of eligible activity.

Who is eligible?

To be eligible, your business must be registered on Companies House, operate within an eligible manufacturing sector as defined by SIC 2007 codes, manufacture eligible products in Great Britain, and consume at least 33 MWh of grid-supplied electricity per year at the relevant site. Eligible sectors cover frontier manufacturing industries within the Government’s IS-8 growth sectors, along with foundational manufacturing industries that supply them.

When does it start?

The application window opens on 1 October 2026 and closes on 30 November 2026. Eligibility decisions will be confirmed in January 2027, with RO and FiT exemptions beginning in April 2027 and Capacity Market exemptions following in October 2027. A one-off additional payment will also be made in 2027 to cover the support businesses would have received had BICS been in operation from April 2026.

How does it interact with the British Industry Supercharger?

The British Industry Supercharger provides total electricity bill support of approximately £65–£87/MWh for the most energy-intensive industries, including a 100% exemption from renewable energy levies and up to 90% compensation for network charges. BICS sits alongside this, extending support to a broader range of manufacturers not covered by the Supercharger. Businesses already receiving Supercharger support may also apply for BICS, though the same consumption cannot receive relief under both schemes simultaneously.

What do manufacturers need to do now?

Manufacturers that may qualify should start preparing early. The support is not automatic. Businesses should use the Government’s online eligibility checker tool at check-eligibility-for-bics.service.gov.uk to assess whether they are likely to qualify, and begin gathering the evidence required for application — including six months of electricity bills and documentation of eligible product manufacturing at each site.

If you would like support assessing your eligibility or preparing your BICS application, get in touch with the Cibus Energy team. We can help you navigate the scheme and ensure you don’t miss out on savings you’re entitled to.

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