Plans to cut manufacturers’ electricity bills move forward

Business Secretary Peter Kyle has launched a consultation on the British Industrial Competitiveness Scheme (BICS) to cut electricity bills for more than 7,000 manufacturers.

Speaking at the CBI’s annual conference in London, he said costs could come down by up to 25% from April 2027.

“In recent years, our most promising innovators and industries have been hamstrung by some of the highest electricity prices in the G7,” he added. “That’s been a drag anchor on growth.”

An eight-week consultation for the BICS will determine eligibility.

Two-thirds of respondents in Make UK and PwC’s 2025 Executive survey said high energy costs reduce their ability to compete, while 64% of companies in the latest Adam Smith Institute business confidence survey said high energy costs are a "major concern".