Written Question·Department for Energy Security and Net Zero·UIN HL2562

EU Emissions Trading Scheme

Tabled: 22 July 2026
Answered: 4 August 2026

Question

To ask His Majesty's Government what plans they have to seek a formal link between the UK and EU emissions trading schemes to exempt British manufacturers from the upcoming EU Carbon Border Adjustment Mechanism.

Answer

The UK and EU agreed to work towards linking their respective Emissions Trading Schemes (ETSs) at the May 2025 UK-EU Summit. Negotiations began late last year and are on-going. A significant benefit of a linking agreement would be the creation of the cond...
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