# Carbon price on carbon-intensive imports from 2027

> “The government is introducing a Carbon Border Adjustment Mechanism (CBAM) from 1 January 2027. It will ensure that highly traded, carbon-intensive goods imported into the UK face a carbon price comparable to the price that would be paid were the goods produced in the UK.”
>
> — James Murray, Financial Secretary to the Treasury, Labour Party; Written ministerial statement, 16 October 2026

- **Status:** Legislated
- **Status ladder:** Promised → In plan → Legislated → Funded → Delivering → Delivered
- **Policy area:** [Taxes](https://ledgergov.uk/promises/area/taxes)
- **Speaker:** [James Murray](https://ledgergov.uk/actor/james-murray), Financial Secretary to the Treasury
- **Party:** [Labour Party](https://ledgergov.uk/actor/labour)
- **Made on:** 16 October 2026
- **Where:** Written ministerial statement
- **Deadline:** 1 January 2027
- **Cost a year:** No costing published
- **Who it affects:** UK importers of highly traded, carbon-intensive goods
- **When:** From 1 January 2027
- **Paid for by:** Not stated when it was announced
- **Quote source:** https://questions-statements.parliament.uk/written-statements/detail/2026-10-16/HCWS387 (checked word for word at its source on 18 October 2026; Open Parliament Licence v3.0)
- **Last updated:** 19 October 2026
- **Card:** https://ledgergov.uk/promise/uk-carbon-border-levy-2027

## Where it stands

The Carbon Border Adjustment Mechanism (CBAM) puts a carbon price on highly traded, carbon-intensive goods imported into the UK; the Finance Act 2026 provides its legal framework and two sets of regulations have been laid. The statement publishes illustrative rates for the first quarter of 2027 and the default emissions values for 2027 and 2028, commits to country-specific default values from 2029, and says the official first-quarter rates will be published before the end of the calendar year. The card moves to delivering when the mechanism starts on 1 January 2027.

## Timeline

- 16 October 2026, Promised: The Financial Secretary to the Treasury says the government is introducing a Carbon Border Adjustment Mechanism from 1 January 2027
- 16 October 2026, Legislated: The statement records that the Finance Act 2026, which provides the mechanism's legal framework, has Royal Assent, and that two sets of CBAM regulations have been laid ([evidence](https://questions-statements.parliament.uk/written-statements/detail/2026-10-16/HCWS387))
- 1 January 2027, Deadline (to come): The Carbon Border Adjustment Mechanism due to start on 1 January 2027

## About the cost

The statement gives no figure for what the mechanism will raise or cost.

## Sources

- [Written ministerial statement HCWS387, 16 Oct 2026: Carbon Border Adjustment Mechanism (CBAM) – October 2026 CBAM Rate and Default Emissions Values update](https://questions-statements.parliament.uk/written-statements/detail/2026-10-16/HCWS387)

## Checks

- Verified by Pavel Guzhikov, checked by AI Journalist; approved on 19 October 2026.
- Checked by AI Journalist (automated) on 18 October 2026.

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