Britain will raise electricity network charge compensation for energy‑intensive industries (EIIs) from 60% to 90% on 1 April 2026, after Parliament approved the Energy‑Intensive Industry Electricity Support Payments and Levy (Amendment) Regulations 2026. Ministers say the change forms part of the British Industry Supercharger plan to close the price gap with European rivals. (hansard.parliament.uk)

Alongside the uplift, the government has doubled the application window for claims from one month to two. It is a small but useful fix for finance teams that manage half‑hourly data and multiple sites, reducing the risk of missing support due to billing delays. (hansard.parliament.uk)

Government modelling indicates that moving from 60% to 90% compensation trims average GB industrial electricity prices from roughly £93/MWh to £86/MWh. Ministers also cite up to £420 million a year in additional support and note that around 550 companies currently benefit from the wider supercharger package. (gov.uk)

The scheme is funded through the EII Support Levy on licensed electricity suppliers. Ofgem has created an allowance in the default tariff cap so suppliers can recover efficient costs, with an initial £2.78 per typical customer for April–September 2025. Lords scrutiny of the impact assessment suggests the uplift itself is expected to add no more than £1.50 a year to a typical household bill. (ofgem.gov.uk)

This is not only about competitiveness. The Climate Change Committee’s 2025 assessment highlights that decarbonising power weakens the link between electricity prices and gas, meaning electrified industrial processes become progressively cheaper to run as the grid cleans up-especially relevant for furnaces, electrolysis and heat pumps. (theccc.org.uk)

The uplift targets a persistent pressure point: network charges that are materially higher in Great Britain than in France or Germany, where discounts of up to 90% for EIIs are common. The government’s consultation material shows the higher relief narrows, though does not entirely close, the remaining price gap with Europe. (gov.uk)

Industry groups and system planners are clear the benefits grow when support is paired with practical action. Shifting large loads into low‑carbon hours, signing long‑term renewable PPAs, and tightening process efficiency can compound savings. Independent analysis from the Carbon Trust finds that flexibility across power, heat and transport materially cuts system‑wide decarbonisation costs-an opportunity EIIs are well placed to seize. (carbontrust.com)

Design questions remain. MPs pressed ministers on sectors such as ceramics that sit outside current eligibility codes, and on whether the business‑level test fairly captures firms whose energy use is predominantly gas today but ready to electrify. Expect further eligibility reviews as decarbonisation pathways evolve. (hansard.parliament.uk)

Funding mechanics will step up too. The government’s consultation response confirms the levy will be increased from April 2027 to cover the 90% rate, with suppliers receiving a six‑month forecast in October 2026-helpful for procurement teams mapping contract risk. (gov.uk)

Policy alignment is improving. A UK Carbon Border Adjustment Mechanism is due from January 2027, meaning targeted relief that keeps low‑carbon production onshore can work alongside border pricing to curb carbon leakage and support investment in clean technologies. (gov.uk)

For eligible sites, the immediate to‑dos are operational not political: use the extended two‑month window, assemble metered demand and network charge evidence for each claim month, and line up the savings against electrification and efficiency projects so this subsidy cuts emissions as well as bills.