The British government plans to reduce electricity bills by up to 25% for more than 10,000 energy-intensive businesses starting April 2027. This expansion of the British Industrial Competitiveness Scheme (BICS) now includes 3,000 additional firms in sectors such as steel, automotive, aerospace, and pharmaceuticals.

To address high energy prices, the plan removes indirect costs related to the Renewables Obligation, Feed-in Tariffs, and the Capacity Market, providing relief worth around £35–£40 per MWh.

Eligible companies will receive a one-off payment in 2027 to account for support missed during the previous year. Although the program costs roughly £600 million annually, the government confirms that household energy rates will not rise to fund these measures.

Final legislative details are expected by autumn 2026 after a consultation period ending on May 14.