Eligible manufacturers could cut their electricity bills by up to 25% through the British Industrial Competitiveness Scheme (BICS), with applications closing on 30 November 2026.
With energy costs continuing to put pressure on manufacturing margins, the scheme offers an opportunity to reduce overheads and strengthen competitiveness. More than 10,000 manufacturing businesses across Great Britain are expected to be eligible for support.
Made in Group patron Optimised is encouraging manufacturers to assess their eligibility now, allowing time to gather the evidence needed before the application window closes.
What could your business save?
BICS provides exemptions from the indirect costs of three electricity schemes: the Renewables Obligation, Feed-in Tariffs and the Capacity Market. The government estimates these exemptions are worth around £35–£40 per MWh.
At the upper end of that estimate, annual savings could reach:
| Annual electricity consumption | Potential annual saving |
|---|---|
| 2,500 MWh | £100,000 |
| 5,000 MWh | £200,000 |
| 10,000 MWh | £400,000 |
These figures illustrate the potential value once all three exemptions are in place, assuming the electricity consumption qualifies for full relief. Actual savings will depend on eligibility, electricity use and the exemption awarded.
When does support begin?
Relief from Renewables Obligation and Feed-in Tariff costs starts in April 2027, followed by Capacity Market relief in October 2027. Successful applications secure a five-year exemption, subject to annual declarations and a review after the second year.
The government has also announced a separate, one-off payment in 2027 reflecting the support eligible businesses would have received had BICS operated from April 2026. This is distinct from the ongoing electricity bill exemptions.
Does your business qualify?
Eligibility depends on more than being a manufacturer. Businesses must be registered with Companies House, operate within an eligible sector and manufacture qualifying products in Great Britain.
The assessment considers SIC codes, product HS codes and the proportion of each site’s electricity used for eligible production. Manufacturers should therefore check both their activities and their site-level electricity use before applying.
Start preparing now
Optimised says it is already supporting more than 150 sites with their applications, with several million pounds in potential levy savings forecast across those sites.
The team can help manufacturers check eligibility, assess the commercial opportunity and prepare their application. Gathering the necessary production and electricity consumption evidence takes time, making an early start worthwhile.
Applications close at 11:59pm on 30 November 2026.
To explore the opportunity:
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Contact Corinne Boddy at [email protected]
Savings are illustrative, based on government estimates, and depend on each business’s eligibility and qualifying electricity consumption.