Autumn Budget 2025: How will it affect your business’s electricity costs 11
Industrial Support and Competitiveness The most material changes sit in direct support schemes. The British Industrial Competitiveness Scheme (BICS) is designed to reduce electricity costs for eligible businesses from 2027. It is of that burden will move into general taxation or targeted support. Over time, this can ease the “sticky” portion of bills that remains high even when markets soften. expected to focus on electricity- intensive manufacturers in priority growth sectors, subject to final eligibility rules. The British Industry Supercharger is also being
Electricity pricing in the UK has never been just about the wholesale market. For most organisations, the delivered cost of power is shaped by “non-commodity” components such as policy costs, network charges and a growing set of pass-throughs. The Autumn Budget 2025 signals a structural shift in how some of these costs are funded and expands targeted relief for qualifying industrial users. Rebalancing the Cost Burden The budget’s goal is not to force wholesale prices down. It aims to rebalance where policy-related costs sit, reducing the extent to which electricity bills carry the weight of decarbonisation programmes. More
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