BICS: manufacturing electricity relief and the 2026 deadline

Who may qualify for BICS?

The official applicant guidance (sections 2.1–2.5) sets out four criteria. Manufacturing alone, a large bill or a company’s name does not establish entitlement.

1. Companies House registration. The business must be registered. Some company statuses require additional evidence; check the current register before applying.
2. An eligible sector. The manufacturing activity must fall within an eligible SIC 2007 sector. For companies required to register SIC codes, an eligible code must be recorded at Companies House. Check the official list rather than assuming all manufacturing sectors qualify.
3. Eligible products made in Great Britain. Goods must fall within the relevant 6-digit Harmonised System (HS) codes. SIC sector eligibility alone is not enough. Northern Ireland is outside this scheme’s Great Britain scope.
4. Site-level grid electricity consumption. Each manufacturing site must use at least 33 MWh (33,000 kWh) a year. Evidence must show more than 16.5 MWh (16,500 kWh) during the most recent six consecutive months available within the last 12 months. Do not simply add unrelated sites together to reach the threshold.

The sector electricity-intensity thresholds determine which SIC codes are on the list; they are not an extra percentage-of-turnover test in this quiz. Check both your actual activity and the official SIC/HS lists.

What costs does the scheme cover?

BICS provides exemptions from indirect Renewables Obligation (RO), Feed-in Tariffs (FiT) and Capacity Market (CM) costs. The guidance expects RO and FiT exemptions from April 2027, followed by CM exemptions from October 2027. Eligibility decisions are expected in early 2027.

A site making only eligible products will normally receive a 100% exemption from the relevant policy costs, subject to verification and adjustments. Mixed production is pro-rated. This is not a 100% discount on the electricity bill. Shared meters, out-of-scope electricity and support under the British Industry Supercharger can change the result; the same relief cannot be received twice.

The guidance describes the scheme’s implementing legislation. Check GOV.UK for final delivery updates, and do not treat this article as a guarantee of future payments.

What to prepare before applying

Use the checklist in section 1.4 and the evidence requirements in the official guidance. Gather company registration and sector details, eligible product information, site and meter details (including MPANs), and electricity evidence for the required period. Mixed production or shared meters can require additional allocation evidence.

1. Confirm the actual manufacturing activity against the official SIC and HS lists.
2. Check each site’s grid usage and gather the specified six-month evidence.
3. Review shared meters, other activities and any existing relief.
4. Submit a full application using the GOV.UK service before the deadline; keep your evidence and confirmation.

ESG can discuss your business electricity arrangements and help you identify questions to check. We are an independent business utilities broker, not the scheme administrator. A callback does not determine eligibility or submit an application.

You can also read about business electricity reviews, use the renewal tracker, or read our business utility cost guide. A BICS enquiry does not require you to switch supplier.