Railways: Climate Change Levy

(asked on 21st October 2026) - View Source

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether he plans to change the Climate Change Levy treatment of electricity used to power passenger and freight trains.


Answered by
James Murray Portrait
James Murray
Financial Secretary to the Treasury and Paymaster General
This question was answered on 30th October 2026

Energy supplies used in certain forms of transport are exempt from the main rate of the Climate Change Levy (CCL). This includes electricity used to electrify train lines, light a railway carriage transporting passengers and light the cab interior of a freight train transporting goods.

The Government has no current plans to change the treatment of electricity used to power passenger and freight trains.

The Chancellor makes decisions on tax policy at fiscal events, and does not routinely comment on proposals.

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