Are you ready for the British Industrial Competitiveness Scheme?

The first application window for the British Industrial Competitiveness Scheme (BICS) will run between 1 October and 30 November 2026.

With only a matter of weeks to gather the evidence a strong claim requires, the groundwork must start now for eligible businesses.

This means compiling data on every import meter at each site and evidencing how much of that consumption relates to eligible manufacturing.

What is BICS?

BICS is a new government scheme that exempts eligible manufacturers from the indirect costs of the Renewables Obligation and Feed-in Tariffs from April 2027 and the Capacity Market from October 2027.

Eligibility is targeted at manufacturers in the Industrial Strategy’s growth sectors (the IS-8), and the foundational industries.

Two further conditions determine baseline eligibility: registration on Companies House, and annual electricity usage above 33 MWh, measured on grid-imported power.

Start with your consumption data

Preparing for BICS starts long before the application. The first step is mapping what proportion of your consumption relates to eligible manufacturing activity.

BICS exemption is applied on a banded site-by-site basis, with higher levels of eligible manufacturing use unlocking greater relief on eligible costs.

Getting this calculation right relies on robust metering, bolstered where needed by technical solutions such as circuit-level monitoring, so eligible consumption can be clearly evidenced.

Use that visibility to your advantage

This data also creates an opportunity to optimise your energy usage. Reducing waste and improving efficiency can sharpen the proportion of consumption tied to eligible manufacturing, while cutting energy use overall.

The commitment does not end there

A successful application is not the end of the BICS process. Eligibility runs for five years and is reviewed at the end of Year 2, with annual declarations required throughout. Businesses must also report any material change on site, or risk losing their exemption.

What does this mean for me?

Given how short this first application phase is, thorough preparation sets you on a stronger footing to make the most of the support available through this scheme.

Businesses confirmed eligible in the first application window stand to receive an additional one-off payment, backdating their support – a benefit which will not be available in later years.

Although applications will remain open at any time during the subsequent years of the scheme, there is no mid-year entry; support will not begin until the start of the following delivery year.

How can Inspired help?

BICS offers an opportunity to address one of the manufacturing sector’s central challenges, but getting onto a scheme like this is only a fraction of what taking part entails.

Remaining eligible for your exemption through schemes like this means taking on increasingly complex and time-consuming reporting and data requirements with every passing year.

Inspired provides ongoing, hands-on BICS support, from mapping eligible consumption to maintaining your evidence pack and managing ongoing compliance.