CONSULT.Outcome publishedConsultation · gov.uk

Addressing carbon leakage risk to support decarbonisation

The UK government is consulting on a range of potential policy measures to mitigate future carbon leakage risk.

Last fetched 03 May 2026 · gov.uk

Detail

On 30 March, the government published an exploratory consultation considering a range of potential policy measures to mitigate carbon leakage risk in the future and ensure UK industry has the optimal policy environment to decarbonise. Potential policies include a carbon border adjustment mechanism (CBAM), mandatory product standards (MPS), and other policy measures to help grow the market for low carbon products, as well as emissions reporting which could support the implementation of potential mitigation policies.

Responses should be provided online (preferred) or by email to carbonleakage.consultation@beis.gov.uk.

Audience

This consultation is open to all interested parties both in the UK and internationally, but we anticipate it will be of particular interest to:

Companies and representatives from industry and business including trade associations;
Importers and exporters of products, including small and medium-sized enterprises, supply chain businesses, software houses and customs agents;
International partners and multinational groups;
Financial Reporting and Enterprise Resource Planning System providers;
Companies and representatives in all other sectors with an interest in climate policy, including academia, thinktanks, cross-sector groups, and non-governmental organisations;
Private citizens.

Contents

This consultation is set out in two parts. Part 1 sets out potential measures that the government could introduce to mitigate the carbon leakage risk in future. Part 2 sets out proposals on design and delivery features of embodied emissions reporting that could underpin future carbon leakage policy measures.