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Energy Intensive Industries: Carbon Emissions

Asked by Jim ShannonDemocratic Unionist PartyDepartment for Energy Security and Net ZeroTabled Answered 16 June 2026UIN 7386

The question

To ask the Secretary of State for Energy Security and Net Zero, what assessment he has made of the potential impact of carbon pricing on energy-intensive industries in the UK.

Answered by Chris McDonald

Carbon-related costs deliver long-term investment signals to deliver energy security for UK businesses and reduce dependence on volatile fossil fuels. However, we understand that some energy-intensive industries (EII) are facing high industrial electricity costs affecting their competitiveness, which is why we deliver the British Industry Supercharger and EII Compensation Scheme to provide carbon-leakage prone businesses relief from carbon costs and electricity network charges. The Government keeps all policy measures, including carbon costs and under review. Carbon Price Support will also be removed from April 2028.

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