Check when to report Climate Change Levy subsidies
Work out your subsidy awards for Climate Change Levy and check when you need to report them to HMRC.
Who needs to report
The government collects and publishes聽details of subsidies awarded to businesses by UK public authorities.
You need to report your annual Climate Change Levy subsidy award for a calendar year if it鈥檚 more than 拢100,000, and you鈥檙e either:
- in a Climate Change Agreement and get a relief from Climate Change Levy
- exempt from Climate Change Levy because you鈥檙e an open access rail service operator
For businesses registered in Northern Ireland
If your business is registered in Northern Ireland, you鈥檒l need to report if all of the following apply:
- you trade in goods or the wholesale electricity market
- you鈥檙e a participant in a Climate Change Agreement
- you get a subsidy award of more than 100,000 euros for a calendar year
To convert euros to pounds, check the official聽聽for the calendar year you鈥檙e reporting. You must use these exchange rates 鈥� we cannot accept any others.
For example, for the calendar year 2024, you鈥檇 need to report if your subsidy award was more than 拢84,825.
When to report
You鈥檒l need to report subsidies for a calendar year. After the calendar year has ended, you鈥檒l have from 1 July to 30 September to report your subsidy awards.
For example, if you want to report subsidies for the calendar year 2024:
- you can report them from 1 July 2025
- you need to report them by 30 September 2025
You must contact us if you鈥檝e missed the reporting deadline for a calendar year, or you think you might miss it. Read the section 鈥楥ontact HMRC for more help鈥� to find out how.
Work out your award
Check the latest Climate Change Levy rates聽to make sure you apply the right rate for the year that you鈥檙e reporting.
For example, if you鈥檙e reporting subsidy awards for the 2024 calendar year period, there were changes to some Climate Change Levy rates in April 2024 . Make sure you use the correct rates for each month to provide a total of your subsidies for that calendar year.
Climate Change Agreement participants
If you鈥檙e a participant in a Climate Change Agreement, your subsidy award amount is the difference between the amount of Climate Change Levy paid at the reduced rate, and the amount that would have been paid at the main rate on your taxable supplies.
Taxable supplies may include:
- electricity
- natural gas
- liquefied petroleum gas
- any other taxable supplies (solid fuels)
Operators of open access rail services
To work out your subsidy award, you鈥檒l need to:
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Work out the amount of electricity used at the main rate of Climate Change Levy from 1 January to 31 December.
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Multiply this by the main rate for the period you鈥檙e reporting.
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If you use a mix of fuels, report electricity usage only.
How to report
You can use our online form to report Climate Change Levy subsidies.
Contact HMRC for more help
Contact us by email at:聽energy.taxes@hmrc.gov.uk聽if you:
- have missed the reporting deadline for a calendar year, or think you might miss it
- have any more questions about reporting Climate Change Levy subsidies
Updates to this page
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Information about completing the online form for VAT registered businesses has been updated.
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The 'What you need to report' section has been updated to include who should complete the online form for VAT registered businesses.
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The guide has been updated as you can now report subsidies online. You can now also report Climate Change Levy subsidy awards received for the previous calendar year 鈥� 1 January 2023 to 31 December 2023.
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This guide has been updated as the transition period has ended, and to inform you that state aid reporting will change due to the EU agreement.
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The 'How to report section' has been updated.
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First published.