UK Treasury: expansion of CBAM to refined products, consultation open until 20 January 2027

News Tank Transitions - Brussels - News #459125 - Published on 02/11/26 at 14:00
©  European Commission
©  European Commission

The UK government intends to extend its Carbon Border Adjustment Mechanism (CBAM) to refined products, according to the Budget Report presented on 28 October 2026. HM Treasury (HMT) and HM Revenue & Customs (HMRC) opened a consultation the same day on the feasibility and impacts of the measure. Responses are due by 20 January 2027.

The Budget Report states that the measure could help address carbon-leakage risks for refineries in Pembrokeshire, Cheshire, Hampshire and the Humber, “giving British businesses confidence to decarbonise while retaining and renewing high-value industrial capability.”

Refinery products, including petrol, diesel and jet fuel, are not part of the CBAM taking effect on 1 January 2027 for five sectors: aluminium, cement, fertiliser, hydrogen, and iron and steel.

The…

©  European Commission
©  European Commission

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