PARLIAMENTARY WRITTEN QUESTION
(20 May 2026)
Question Asked
To ask the Secretary of State for Environment, Food and Rural Affairs, what her policy is on UK CBAM for fertilisers and ammonia.
Asked by:
Sarah Bool (Conservative)
Asked by:
Sarah Bool (Conservative)
Answer
The Government remains committed to implementing the UK Carbon Border Adjustment Mechanism (CBAM) from 1 January 2027. CBAM will apply to imported goods from the fertiliser sector, and the rate charged will reflect the final carbon price paid by domestic industries after support mechanisms (such as free allowances within the UK ETS) have been taken into account.
Therefore, it is expected that initial liabilities arising from the CBAM will be modest, and the Government does not expect CBAM to put UK farmers at a significant competitive disadvantage.
CBAM, like all taxes, will be kept under review by the Chancellor.
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