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Network Charging Compensation Scheme Uplift

21 July 2025

Proposing MP
Sarah Jones Lab
Croydon West
Type
Written Ministerial Statement
Department
Department for Business and Trade
View on Parliament.uk -->

At a Glance

Issue Summary

The statement addresses the government's plan to increase relief through the Network Charging Compensation (NCC) Scheme from 60% to 90% and extend the application window from one month to two.

Action Requested

The government is launching a consultation to seek industry views on increasing NCC Scheme relief and extending the application period. If enacted, this will provide over £100m in additional electricity price relief starting from 2026 for around 500 UK energy-intensive businesses.

Key Facts

  • The government's programme aims to increase Network Charging Compensation (NCC) Scheme relief from 60% to 90%.
  • The consultation will explore doubling the application window from one month to two months.
  • Over £100m in additional electricity price relief is expected if the scheme is enacted.
  • Approximately 500 UK energy-intensive businesses across sectors such as steel, chemicals, glass and ceramics will benefit.
  • The cost of electricity for beneficiaries is estimated to reduce by £7-10/MWh from 2026.
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