Question to the Department for Energy Security & Net Zero:

To ask the Secretary of State for Energy Security and Net Zero, whether an agreement to link the UK and EU Emissions Trading Schemes will be in place before the EU’s Carbon Border Adjustment Mechanism comes into force on 1 January 2026.

At the UK-EU Summit on 19 May, both sides agreed in the Common Understanding to work towards establishing a link between their respective carbon markets by way of an agreement linking the United Kingdom Emission Trading Scheme (UK ETS) and the European Union Emission Trading System (EU ETS).

The UK is looking to secure a linking agreement with the European Union as fast as is feasible. We are taking forward preparations at pace and look forward to beginning negotiations.