Government schemes

BICS: could your manufacturing site cut its electricity costs?

The British Industrial Competitiveness Scheme exempts eligible manufacturers from some of the policy costs on their electricity bills. Applications for year one are open now and close on 30 November 2026.

UPDATED 29 SEPTEMBER 2026 BY TOM WAUGH, FOUNDER & MD 5 MIN READ PUBLISHED 29 SEPTEMBER 2026 ENERGY PLANNER INSIGHTS

Policy costs are a growing share of every business electricity bill. BICS removes some of them for eligible manufacturers, but only for those who apply in time, and only if the saving actually reaches the bill.

What BICS is

The British Industrial Competitiveness Scheme is a government scheme to lower electricity costs for manufacturers in eligible sectors. Successful applicants are exempted from the indirect costs of three electricity policy schemes: the Renewables Obligation, Feed in Tariffs and the Capacity Market.

Based on published guidance, relief from the Renewables Obligation and Feed in Tariff costs is expected from April 2027, with Capacity Market relief following from October 2027.

Who may qualify

A business must meet all four of these criteria:

The applicant must be the company that actually manufactures at the site. A holding company, for example, will not pass on its own, even where the group owns the factory.

The dates that matter

Applications for year one are open now and close on 30 November 2026. Decisions are expected in the new year. The window is short, so it is worth gathering the evidence now: your SIC codes, the HS6 codes for what each site makes, and twelve months of electricity consumption for each site.

The catch most people miss

The exemption flows through your electricity supplier. If your supply contract fixes the policy costs for its full term, the saving may not reach your bill without a change to the contract. Qualifying is only half the job; checking your contract is the other half.

It is also worth checking your SIC codes at Companies House describe what you genuinely do. Codes that are out of date or too general can fail an otherwise eligible business at the first question.

Could your site qualify?

We screen your eligibility against the published codes and thresholds, and check whether your supply contract will pass the saving through. No obligation.

Book an eligibility check

How Energy Planner helps

We screen each manufacturing site against the eligible SIC and HS6 codes and the consumption threshold, review your supply contracts to see whether the exemption will reach you, and once relief begins, check your bills to confirm it has been applied.

You can also run an initial check yourself using the government eligibility checker. It gives an indication only, so it is worth confirming the detail before you apply.

This page summarises published government guidance as at September 2026 and is general information, not advice on your specific circumstances. Eligibility decisions rest with the scheme administrator and details may change, so it is worth confirming directly on GOV.UK before applying.

Want to know if you qualify?

Tell us about your sites and we will screen your BICS eligibility and check your contracts will pass the saving through. Nothing to sign.

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