SearchCould BICS reduce your manufacturing electricity costs?
Manufacturers could potentially reduce their electricity costs by up to 25% through the British Industrial Competitiveness Scheme (BICS).
If your business manufactures eligible products in Great Britain and uses at least 33MWh of grid-supplied electricity a year, you may be able to benefit from government-backed relief on some of the indirect costs included in your electricity bills.
The first BICS application window runs from 1 October to 30 November 2026, with decisions expected in January 2027.
What is BICS?
The British Industrial Competitiveness Scheme (BICS) is part of the Government's Modern Industrial Strategy.
It is designed to reduce electricity costs for eligible manufacturers in frontier IS-8 sectors and the foundational industries that supply them across Great Britain.
For businesses that qualify, BICS provides relief from indirect electricity costs associated with:
- Renewables Obligation (RO)
- Feed-in Tariffs (FiT)
- Capacity Market (CM)
The potential benefit is up to a 25% reduction in electricity costs, equivalent to around £35–£40 per MWh against a market rate of approximately £130/MWh.
Relief is expected to be available from April 2027 for RO and FiT, and from October 2027 for Capacity Market costs.
BICS sits alongside the British Industry Supercharger. Any overlap must be declared and the same costs cannot be relieved twice.
Could your manufacturing site qualify?
Your site may qualify if it meets all four of the key eligibility tests:
1. Your business is registered with Companies House
The business must be registered at Companies House.
2. You operate in an eligible sector
At least one qualifying SIC code must reflect the activity carried out at the site.
3. You manufacture an eligible product
The site must manufacture goods covered by an eligible six-digit HS code.
4. You use at least 33MWh of electricity
The site must use at least 33MWh of grid-supplied electricity per year.
How can HURST help?
Understanding whether your business qualifies for BICS is the first step. We can help you assess your position, understand the potential benefit and prepare the evidence needed to support an application.
Eligibility review
We'll assess the key eligibility requirements, including your:
- Companies House registration
- SIC codes
- HS codes
- Site MPANs
- Annual electricity usage against the 33MWh threshold
Savings assessment
We'll look at your qualifying activities and assess the potential level of exemption available, including electricity used on the manufacturing line and relevant supporting activities.
Evidence preparation
We'll help you compile the supporting evidence required for your application, including your most recent six consecutive months of electricity bills and evidence relating to your eligible products.
Application support
Once we've established that an application is worth pursuing, we'll help prepare and manage the submission with your authorised company officer.
When is the first BICS application window?
The first application window is:
1 October to 30 November 2026
Decisions are expected in January 2027.
If approved, RO and FiT relief is expected from April 2027, with Capacity Market relief expected from October 2027.
Could your business benefit?
If you're a manufacturer with significant electricity consumption, it's worth checking whether your site could qualify for BICS.
Talk to HURST about a complimentary BICS eligibility review.
We'll help you understand whether you could qualify and what the potential benefit could mean for your business.
Get in touch with the HURST team to arrange your complimentary eligibility review. email us imagine@hurst.co.uk