2026 Climate Change Levy (CCL) & Tax Exemption Guide for UK Industry

The Climate Change Levy (CCL) is a tax added to commercial energy bills in the UK. For 2026, CCL rates stand at 0.775p/kWh for electricity and 0.672p/kWh for gas.

Businesses operating in energy-intensive sectors under Climate Change Agreements (CCA) can claim up to 90% discount on CCL rates for electricity and 86% for gas.

Furthermore, microbusinesses consuming under 33kWh/day electricity or 145kWh/day gas qualify for a reduced 5% VAT rate instead of standard 20% VAT.