Refineries: UK Carbon Border Adjustment Mechanism
(asked on 20th February 2026) - View Source
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of the refining sector not being included in the Carbon Border Adjustment Mechanism or a similar support measure on trends in the level of growth of that sector.
The Government recognises the role that refineries play in energy security and the UK’s industrial base. The Government published a call for evidence (https://www.gov.uk/government/calls-for-evidence/future-of-the-uk-downstream-oil-sector/future-of-the-uk-downstream-oil-sector-call-for-evidence) on the future of the fuel sector on 23rd February 2026 in order to help understand the current state of the refining sector.
As announced at Budget 2025, the government is considering the feasibility and impacts of including refined products in the Carbon Border Adjustment Mechanism (CBAM) in future.