British Industrial Competitiveness Scheme (BICS): Who can apply and how?

UK manufacturers will be very aware that ever-rising energy costs represent one the biggest challenges facing the sector, so any meaningful relief from government deserves a second look. The British Industrial Competitiveness Scheme (BICS) is one of them, and the window to apply is now open.

Part of the government’s Modern Industrial Strategy, BICS is a government scheme designed to reduce electricity costs for eligible manufacturers. Qualifying businesses will be exempt from certain levies that are currently built into electricity bills. That could cut costs by up to £40 per MWh, which the government estimates at up to 25% of a typical bill. Exemptions from the Renewables Obligation and Feed-in Tariffs are due to take effect from April 2027, with the Capacity Market exemption following in October 2027.

Who can apply?

BICS is not reserved for just large or energy-intensive businesses. More than 10,000 firms are expected to be eligible, with the government deliberately looking to target smaller firms.

That said, BICS is targeted support rather than a blanket discount for every manufacturer. Eligibility depends on several factors, including:

• the sector you operate in, identified by SIC code;
• the products you manufacture, identified by HS code; and
• your electricity usage.

The Government has published an online checker to help you assess whether you are likely to qualify.

The checker only gives an initial indication. Final eligibility will be confirmed through the full application.

Applications are open now and close at 11.59pm on 30 November 2026. Businesses will be told the outcome from January 2027. The Government has said that only businesses applying this year will be able to access an additional year of payment.

Applications cannot be amended once submitted, so it is worth gathering your evidence before you start. This will include details of your manufacturing activity and electricity consumption.

How Kreston Reeves can help

If you would like to talk through whether BICS could benefit your business, or how it fits with any existing energy support you receive, please contact a member of our manufacturing team.