Prepare early for UK CBAM compliance
The UK Carbon Border Adjustment Mechanism (UK CBAM) is expected to come into force on 1 January 2027, with no transitional phase. This means businesses will face financial obligations from the first year of reporting.
Although the legislation has not yet been formally adopted, early preparation is essential to avoid disruption, unexpected costs, and supply chain risks.
As currently proposed, the UK CBAM will:
- Start on 1 January 2027
- Apply immediately to emissions reported for 2027
- Include no transitional reporting-only period
Businesses importing in-scope goods should begin preparing now to ensure data availability, supplier readiness, and financial planning ahead of implementation.
To prepare for UK CBAM, businesses should:
- Check their obligation
Review the UK CBAM in-scope commodity code list to determine whether imported goods fall under the mechanism. - Engage suppliers early
Work with in-scope suppliers to identify emissions data gaps and improve data quality across the supply chain. - Forecast CBAM costs
Estimate future CBAM liabilities to support budgeting and long-term financial planning. - Monitor policy developments
Stay informed as UK CBAM legislation and guidance evolve.
How Valpak can help with UK CBAM
Preparing for UK CBAM can be complex, particularly where supplier data is limited or fragmented. Valpak offers a tailored UK CBAM compliance service to help businesses prepare with confidence.
Our services include:
- Obligation identification and calculation
Clear confirmation of which goods are in scope and the potential impact on your business. - Supplier engagement
Direct support working with your suppliers to obtain and pre-verify emissions data. - Cost forecasting
Practical estimates to support financial provisioning ahead of 2027. - Pre-verification support
Helping ensure both your business and your suppliers are verification-ready, working with trusted independent auditors.
FAQs
The UK CBAM is set to come into effect on 1 January 2027. The legislation will be open for technical consultation from 24 April 2025 to 3 July 2025, after which the government will review it in accordance with its new EU deal ahead of its official introduction later this year. A full list of the obligated commodity codes included in the draft is available on the government website.
Make an enquiry
Let us simplify UK CBAM compliance so you can focus on running and growing your business. Get in touch today to discuss UK CBAM support.