British Industrial Competitiveness Scheme (BICS) for Manufacturers
What is the British Industrial Competitiveness Scheme?
- April 2027 – relief from Renewables Obligation (RO) and Feed-in Tariff (FiT) charges is expected to begin.
- October 2027 – Capacity Market (CM) discounts are expected to commence.
- 2027 – the Government has also confirmed a one-off backdated payment to compensate eligible businesses for support applicable from April 2026.
As part of the Government’s Modern Industrial Strategy, BICS is intended to improve the competitiveness of UK industry by reducing certain non-commodity electricity charges for qualifying businesses.
The British Industrial Competitiveness Scheme (BICS) is a new Government initiative designed to reduce electricity costs for eligible UK manufacturers from April 2027.
For eligible manufacturers, the scheme could provide savings of at least £35–£40/MWh (3.5–4 p/kWh), potentially delivering a significant reduction in electricity costs depending on the business’s consumption and eligibility.
The support is expected to be introduced in stages:
How JSR Energy Can Help
Understanding whether your business qualifies for BICS and preparing a successful application requires a detailed review of both your manufacturing activities and electricity consumption.
JSR Energy will manage this process for you.
We will assess your business against the BICS eligibility requirements, review your manufacturing activities and products, analyse your electricity consumption and identify the evidence required to support your application.
Our service covers the process from initial eligibility assessment through to application preparation and submission.
Establishing Eligibility
Eligibility is determined using a combination of your company’s SIC code, the products manufactured and the relevant six-digit Harmonised System (HS) codes.
BICS is aimed at strategically important UK growth sectors, including:
JSR Energy will review the relevant information for your business and identify which manufacturing activities and products may qualify.
Assessing Your Electricity Costs
A key part of the BICS application is establishing the amount of electricity associated with eligible manufacturing activities.
JSR Energy will review your electricity bills, MPAN information, consumption data and, where available, sub-metering or electricity monitoring data.
Where dedicated metering is not available, we can assess the available information and develop an appropriate methodology for estimating eligible manufacturing electricity.
Preparing Your Application
JSR Energy will work with you to gather and review the information required to support your application.
We will identify any gaps in the information provided and work with you to address them before submission.
Why Start Now?
The first BICS application window is scheduled to open on 1 October 2026 and close on 30 November 2026 at 11:59pm.
With applications unable to be amended after submission, it is important that eligibility, electricity consumption and supporting evidence are reviewed carefully in advance.
JSR Energy can take the complexity out of the process, giving manufacturers a clear route from eligibility assessment to application submission.
Could your business be eligible for relief on your electricity!
The British Industrial Competitiveness Scheme (BICS) is a UK Government scheme designed to reduce electricity costs for eligible manufacturing businesses in Great Britain.
Eligible businesses can receive exemptions from certain electricity policy costs, including the Renewables Obligation (RO), Feed-in Tariffs (FIT) and Capacity Market (CM).
JSR Energy Consultancy can help manufacturers understand the BICS eligibility requirements, assess their manufacturing sites and electricity usage, identify the information and evidence required, and support them through the application process.
Check My BICS Eligibility
JSR Energy – BICS Eligibility Check and Application Process
- Companies House information
- Manufacturing site details
- MPAN information
- Last 6 months Electricity bills and consumption data
- Product and HS code information
- Evidence supporting eligible manufacturing activities
- Electricity allocation calculations
- Evidence relating to shared meters where applicable
- Any other information required to support the application
When does BICS start?
The first BICS application window opens on 1 October 2026 and closes on 30 November 2026 at 11:59pm. For successful applicants, the first-year timetable is:
| Date | BICS milestone |
| 1 October 2026 | First application window opens |
| 30 November 2026 | First application window closes |
| January 2027 | Eligibility decisions expected |
| April 2027 | RO and FIT exemptions begin |
| October 2027 | Capacity Market exemption begins |
These dates apply to the first year of the scheme and should be checked against the latest Government guidance before applying.
Who is eligible for BICS?
BICS is available to eligible manufacturing businesses that meet four main criteria.
1. The business must be registered on Companies House
2. The business must operate within an eligible manufacturing sector
3. The business must manufacture eligible products
4. The manufacturing site must use at least 33 MWh of grid electricity per year
Which types of manufacturers could qualify for BICS?
BICS is aimed at eligible manufacturing sectors identified by the Government’s SIC and HS code lists. Depending on the specific activity and products manufactured, businesses in areas such as the following may wish to investigate their eligibility:
Aerospace and advanced manufacturing
- Aerospace manufacturing
- Automotive manufacturing
- Electrical equipment manufacturing
- Electronic equipment manufacturing
- Machinery manufacturing
- Engineering manufacturing
- Semiconductor-related manufacturing
- Medical equipment manufacturing
Metals and industrial materials
- Steel manufacturing
- Aluminium manufacturing
- Metal manufacturing
- Metal products
- Glass manufacturing
- Ceramics manufacturing
- Cement and other building materials
- Industrial materials
Chemical and process manufacturing
- Chemical manufacturing
- Pharmaceutical manufacturing
- Plastics manufacturing
- Rubber manufacturing
- Industrial chemicals
- Materials processing
Food and consumer manufacturing
- Food manufacturing
- Drink manufacturing
- Paper manufacturing
- Pulp manufacturing
- Packaging manufacturing
- Textile manufacturing
Other industrial manufacturing
- Industrial machinery
- Components manufacturing
- Electrical products
- Technical products
- Clean energy equipment
- Other eligible manufacturing activities
Important: This list is a guide to manufacturing sectors that may fall within the scope of BICS. It is not confirmation of eligibility.
The Government’s final BICS eligibility list is based on specific SIC and HS codes. A manufacturer’s actual eligibility depends on its registered activities, products manufactured, electricity consumption and the other requirements of the scheme. Check the official BICS eligibility list.
What electricity costs does BICS reduce?
For eligible businesses, BICS provides exemptions from certain indirect electricity policy costs.
These include:
Renewables Obligation (RO)
The Renewables Obligation supports renewable electricity generation and forms part of the policy costs associated with electricity.
Feed-in Tariffs (FIT)
Feed-in Tariffs supported eligible renewable electricity generation and associated costs are included within the BICS relief.
Capacity Market (CM)
The Capacity Market is designed to help ensure sufficient electricity capacity is available when required.
BICS provides eligible manufacturers with the relevant exemptions from these policy costs in accordance with the scheme rules.
How is BICS relief calculated?
The amount of BICS relief available depends on the proportion of grid electricity used for the manufacture of eligible products and eligible manufacturing activities at the site. The Government’s current methodology uses a pro-rating approach.
Eligible manufacturing electricity | BICS pro-rating level |
25% or less | 0% |
More than 25% but less than 50% | 50% |
50% or more | 100% |
For example, if a manufacturing site uses electricity for both eligible and ineligible production, the business may not receive the same level of relief as a site where all electricity is associated with eligible manufacturing.
The calculation is based on grid-supplied electricity and the electricity associated with eligible manufacturing activities.
Information Required from the Manufacturer or the Application
To enable JSR Energy to complete the BICS eligibility assessment and prepare the application, the manufacturer will need to provide relevant company, manufacturing and electricity information.
JSR Energy will provide the client with a document request and guide them through the information required.
The information may include:
Company Information
- Companies House registration details
- Registered company name and address
- Registered SIC code
- Details of the relevant manufacturing business or entity
Manufacturing Site Information
- Details of each manufacturing site being considered for BICS
- Site address
- Description of manufacturing activities undertaken at each site
- Details of any other activities carried out at the site
- MPANs associated with the relevant electricity supplies
Product Information
- Details of the products manufactured at each site
- Identification of products that may qualify under BICS
- Relevant six-digit HS codes
- Evidence supporting the manufacture and eligibility of the relevant products
- Supporting information relating to manufacturing processes, where required
Electricity Information
- Electricity bills covering the required six-month period
- Electricity consumption data
- MPAN information
- Meter readings, where available
- Sub-metering information
- Electricity monitoring data
- Details of how electricity is used across the site
Complex Metering & Electricity Arrangements
Where applicable, additional information may be required for:
- Shared electricity meters
- Multiple businesses operating from the same site
- Electricity supplies serving both manufacturing and non-manufacturing activities
- Private electricity networks
- On-site electricity arrangements
- Sub-metered manufacturing areas or equipment
JSR Energy’s Role
The precise information and evidence required will depend on the individual circumstances of the manufacturer and the electricity arrangements at each site.
JSR Energy will review the information provided and identify any additional evidence required to support the application.
Where information is unavailable — for example, where dedicated sub-metering is not installed — JSR Energy will assess the available data and determine an appropriate approach for establishing the electricity associated with eligible manufacturing activities.
The objective is to ensure that the BICS application is supported by clear, consistent and appropriate evidence before submission.
How JSR Energy Consultancy can help
BICS Eligibility Assessment
We can review your manufacturing activities, sites, products and electricity consumption to help you understand whether your business may meet the BICS requirements.
Electricity Cost Review
BICS should be considered as part of your wider industrial energy strategy.
We can review your electricity costs and help identify opportunities to reduce your overall energy expenditure.
BICS Application Support
JSR Energy Consultancy can support manufacturers with the preparation of the information and evidence required for a BICS application.
A third-party consultant can complete and submit a BICS application on behalf of a business where the appropriate authorisation is provided.
Multi-Site Manufacturing Support
If your business operates multiple manufacturing sites, we can help you understand how each site should be considered within the BICS application.
Wider Energy Strategy
BICS is only one part of managing industrial energy costs.
JSR Energy Consultancy also provides support across areas including energy procurement, energy management and wider energy strategy.
Our objective is simple:
Help your business understand its energy costs and identify practical opportunities to reduce them.
Frequently Asked Questions About BICS
What is BICS?
The British Industrial Competitiveness Scheme (BICS) is a UK Government scheme designed to reduce electricity costs for eligible manufacturing businesses in Great Britain by providing exemptions from certain electricity policy costs.
Who can apply for BICS?
Eligible manufacturing businesses can apply if they meet the Government's requirements relating to Companies House registration, eligible manufacturing sectors, eligible products and grid electricity consumption.
Is BICS available to all manufacturers?
No. BICS is not automatically available to every manufacturing business. Eligibility is determined using the Government's specified SIC and HS codes alongside other scheme requirements.
What SIC codes qualify for BICS?
BICS eligibility uses specific SIC 2007 codes. The Government has published the final list of eligible SIC and HS codes for the first year of the scheme.
What HS codes qualify for BICS?
Eligible BICS products are identified using six-digit HS codes. The Government has published the final eligible HS code list.
Does a manufacturer need to export to qualify for BICS?
No. A business does not need to import or export products to qualify. The requirement is that the business manufactures an eligible product at the relevant manufacturing site.
What is the minimum electricity consumption for BICS?
Each manufacturing site must use at least 33 MWh of grid-supplied electricity per year. The Government uses evidence of more than 16.5 MWh over the relevant six-month period as a proxy for the annual threshold.
Does BICS apply to each manufacturing site?
Yes. BICS relief is calculated at individual manufacturing-site level.
Can a manufacturer with multiple factories apply?
Yes. One legal entity can make one BICS application per year covering multiple manufacturing sites.
How much can BICS save?
The amount of relief depends on the individual manufacturing site's eligibility, electricity consumption, eligible manufacturing electricity and applicable policy costs. There is no single saving that applies to every manufacturer.
What electricity costs does BICS cover?
BICS provides eligible businesses with exemptions from certain indirect electricity policy costs associated with the Renewables Obligation, Feed-in Tariffs and Capacity Market.
When do BICS exemptions start?
For the first year, RO and FIT exemptions are scheduled to begin in April 2027. Capacity Market exemptions are scheduled to begin in October 2027.
When can manufacturers apply for BICS?
The first BICS application window opens on 1 October 2026 and closes on 30 November 2026 at 11:59pm.
Can an energy consultant apply for BICS on behalf of a manufacturer?
Yes. The Government's guidance allows a third party, such as a consultant, to complete an application on behalf of a business where the appropriate authorisation is provided.
Can JSR Energy Consultancy help with a BICS application?
Yes. JSR Energy Consultancy can support manufacturers with eligibility assessment, information gathering, electricity-cost analysis and preparation for the BICS application process.
Is BICS the same as the British Industry Supercharger?
No. BICS is a separate Government scheme. However, the BICS guidance includes specific provisions for businesses that already receive British Industry Supercharger support.
What happens if my site manufactures eligible and non-eligible products?
The Government uses a pro-rating methodology to determine the level of BICS exemption based on the proportion of electricity associated with eligible manufacturing.
Do I need sub-metering to apply for BICS?
Not necessarily. Where sub-metering or electricity monitoring data is unavailable, the Government allows businesses to estimate electricity usage and provide an explanation of the methodology used.
How long does BICS support last?
Successful BICS exemptions are valid for five years, subject to annual declarations and a mid-point review in year two.