Preparing for BICS Applications: What UK Manufacturers Should Do Before October 2026

Sep 3, 2026 | All News

With British Industrial Competitiveness Scheme (BICS) applications expected to open in October 2026, the window between now and then is the preparation period. The scheme is expected to run with a short submission window, and businesses that arrive at the window with their position already established will be materially better placed than those still gathering evidence when the window opens.

This piece sets out the core actions UK manufacturers should be taking now to prepare a strong application, and to be positioned for the strongest defensible exemption band available.

One clarification before we go further. Qualification for BICS is a matter for each business to confirm against the published criteria. This guide sets out what preparation involves. It does not, and cannot, determine your qualifying position on your behalf.

Confirm Sector and Product Classification

The first practical step is to confirm the SIC and HS codes that apply to your business’s activity, and to check whether they fall within the scheme’s published classifications. Classification is what determines whether a business qualifies at all, so establishing this early avoids preparing evidence for an application the business cannot make.

For manufacturers whose activity clearly sits within an IS-8 frontier industry or a qualifying foundational industry, this step is normally straightforward. For businesses with mixed activity across multiple sites, or activity that sits close to the boundary of scheme scope, the classification review is more involved and worth completing early.

Gather Site-Level Electricity Data

BICS eligibility is calculated at site level, so understanding electricity use at each site is central to the application. In practical terms, this means confirming what proportion of each site’s electricity is tied to eligible manufacturing activity versus activity that falls outside the scheme’s scope.

For most manufacturers, this involves pulling together consumption data across the estate and, where sub-metering exists, using it to attribute consumption between eligible and non-eligible activity. Where sub-metering is limited, understanding the site’s overall usage pattern is the starting point.

Structured Data Excellence and reliable Energy Metering Solutions both support this work and produce data that supports wider reporting obligations at the same time.

Assess Your Position Against Alternative Schemes

For businesses already benefiting from the Energy Intensive Industries (EII) exemption, an early comparison of BICS and EII is essential. Exemptions cannot be duplicated, so the decision is not whether to add BICS on top of EII but whether BICS delivers greater value than EII for the specific business.

The comparison depends on the business’s sector, activity mix and site-level electricity use. It is not a decision that can be made on headline figures alone, and for most businesses it benefits from a structured modelling exercise before the application window opens.

Prepare Your Evidence Pack

BICS applications need to be supported by an evidence pack that demonstrates classification, activity and site-level electricity use. The strength of the evidence directly affects the strength of the application, particularly where a business is positioning for a higher exemption band.

Preparing the evidence pack in advance of the application window matters for two reasons. First, it removes the pressure of gathering evidence against a short deadline. Second, it allows time to identify and close gaps that would otherwise weaken the position.

Plan for Ongoing Compliance

BICS is not a one-off application. Once approved, businesses need to maintain the evidence supporting their exemption band, submit ongoing declarations and returns, and be positioned to demonstrate continued eligibility. Building the systems needed for this at the point of application, rather than after approval, avoids scrambling to establish them retrospectively.

For businesses already managing ESOS, SECR and other reporting obligations, the evidence gathered for BICS often reinforces the wider compliance picture. Preparing BICS in isolation is possible; preparing it as part of an integrated compliance approach is more efficient.

The gap between businesses that secure the strongest BICS position and those that miss out is likely to be defined more by preparation than by eligibility itself. For manufacturers whose activity fits within the scheme’s scope, the work needed to be ready for October 2026 can and should be underway now.

Not sure whether BICS applies to your business?

Eligibility depends on your SIC code, your sector classification and your site level electricity intensity, and the detail is more involved than the headline savings suggest. The application window opens later this year, so it is worth checking your position now rather than waiting.

Ash Williams, our Sustainable Business Solutions Manager, can talk you through where you stand.
Book Your Review →

Preparing for BICS

Our BICS calculator provides an initial view of eligibility and potential savings in two minutes, and is a useful starting point for the internal case to prepare.

For a full eligibility assessment, banding analysis, evidence pack preparation and application support, book a BICS eligibility review to discuss your position with our team.

Frequently Asked Questions

When Does the BICS Application Window Open?

Eligibility assessments are expected to open in October 2026, with a short window to submit before confirmation of eligible businesses expected in early 2027.

What Evidence Do I Need to Provide for BICS?

Eligibility is determined by sector and product classification, supported by site-level data showing the proportion of electricity used for eligible manufacturing activity.

Evidence typically covers SIC and HS code classification, site-level consumption data, and documentation of the manufacturing activity taking place at each site.

Do I Need to Prepare BICS if I Already Have EII?

Yes, at least to the extent of running the comparison. Exemptions cannot be duplicated, so businesses in EII need to establish whether BICS would deliver greater value before deciding whether to apply.

The comparison is easier to make before the application window opens rather than after.

How Long Is the BICS Application Window Expected to Be?

The scheme is expected to run with a short assessment window rather than remaining open continuously. Confirmation of eligible businesses is expected in early 2027, so the assessment period sits between the October 2026 opening and that confirmation.

Businesses arriving at the window with prepared evidence will be materially better placed than those still gathering it.

What Happens After My BICS Application Is Submitted?

Applications are reviewed against the published criteria, with confirmation of eligible businesses expected shortly after the assessment window closes.

Once approved, businesses need to maintain evidence supporting their exemption band and submit ongoing declarations and returns as part of continued compliance.