Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment he has made of the potential impact of the EU's carbon border adjustment mechanism on the UK steel industry.

The government is continuing to assess the potential impact of the EU carbon border adjustment mechanism (CBAM) on UK businesses, including the steel industry, and is engaging with UK businesses on this.

As the UK has an ambitious carbon pricing system through our Emissions Trading Scheme (ETS) and Carbon Price Support mechanism, we expect the EU CBAM to take account of this in its implementation.

Full details of the EU CBAM will be known when the EU adopt the required implementing and delegated acts. UK officials are continuing to closely monitor this process and are waiting to see these before building a full understanding of potential impacts on UK businesses.