UK Steel - British Industrial Competitiveness Scheme

UK Steel strongly supports the British Industrial Competitiveness Scheme as a necessary intervention to address gaps in existing energy support and reduce uncompetitive electricity costs faced by steelmakers and other foundation industries. We emphasise that steel must be clearly and comprehensively included within the scheme, with eligibility covering the full steel value chain and allowing firms to access both BICS and the British Industry Supercharger for different energy uses. 

UK Steel estimates BICS could reduce electricity costs for eligible businesses by around 28%, materially improving competitiveness, investment prospects and the sector’s ability to decarbonise. To maximise effectiveness, the scheme should avoid pro-rating, use pragmatic SIC/HS classifications flexibly, apply a lower electricity-intensity threshold than BIS, and prioritise certainty and simplicity over additional conditionality, ensuring BICS genuinely supports industrial resilience, national security and net zero objectives.