UK Industrial Carbon Capture Business Model (2025)

The UK Industrial Carbon Capture (ICC) Business Model is the government contractual support framework for industrial and waste-sector carbon capture projects. The November 2025 package includes updated business-model terms, Front End Agreements and standard terms and conditions. The model combines an up-to-15-year payment per tonne of captured and permanently stored CO2 with capital grant co-funding for eligible initial projects. Revenue support is intended to cover efficient operating costs, CO2 transport and storage charges, repayment of capital investment and an allowed return. Support is allocated through government project-selection and contracting processes; publication of the model does not create an automatic subsidy entitlement.