UK Eyes Carbon Tax Rollout in 2027, Seeks Comments on Process

The UK government aims to introduce its carbon border tax on Jan. 1, 2027 and is seeking feedback on its design, implementation, and administration—including the scope of products and ways to calculate emissions.

The consultation released Thursday highlighted that products in scope of the tax come from the aluminum, cement, ceramics, fertilizers, glass, hydrogen, and iron and steel sectors. The government doesn’t intend to exempt anything from the product scope currently.

The UK is following the EU’s approach to the carbon border adjustment mechanism (CBAM), which implemented CBAM in 2023 to ensure highly traded, carbon-intensive goods from overseas are hit ...