The assumptions used in the Sustainable Aviation Fuel (SAF) Mandate cost-benefit analysis are projections of future SAF production costs over the appraisal period, rather than observed market prices. These estimates are subject to uncertainty regarding future technology deployment, feedstock availability and market developments. This is covered in detail in the SAF Mandate cost-benefit analysis. At present, hydroprocessed esters and fatty acids (HEFA) fuel is the only SAF pathway with a sufficiently mature and established market from which viable commercial price data are available. Other SAF pathways are not yet deployed at a scale that enables meaningful comparisons against the assumptions used in the cost-benefit analysis. Based on available market data, while SAF prices are inherently volatile and can fluctuate over time in either direction, we are confident that the range of estimates for HEFA SAF in the cost-benefit analysis remains accurate.

The Sustainable Aviation Fuel (SAF) Mandate cost benefit analysis estimated the potential impact that SAF Mandate compliance costs could have on UK aviation demand. There was not a specific assessment of the demand impact on outbound leisure travel, or the impact on package holiday prices, as this will be dependent on how individual airlines and package holiday providers choose to pass on any costs.

As part of the Sustainable Aviation Fuel (SAF) Mandate cost-benefit analysis, the total cost of compliance was estimated by looking at the additional cost of supplying SAF compared to kerosene, as well as the change to any carbon price obligation that applies.

A high-level assessment of the additional administrative costs which may be faced by fuel suppliers when complying with the SAF Mandate was included in the non-monetised costs in section 4.

Question 12526 was answered on 1 July 2026.

The Sustainable Aviation Fuel (SAF) Mandate cost-benefit analysis set out the estimates of the impact on an average one-way ticket price (Sustainable aviation fuel mandate: final stage cost benefit analysis). This analysis assumes that airlines pass on 75% of the additional costs of the SAF Mandate onto consumers. The year-on-year costs for different ticket-types was not part of the cost-benefit analysis, as this will be dependent on how individual airlines choose to distribute additional costs.

Eligibility criteria for the Low Carbon Fuels Fund will be provided in the guidance for applicants, which will be released upon the launch of the competition this summer. In the previous Advanced Fuels Fund competition, eligibility criteria included the categories of main fuel output, technology readiness level, feedstocks, greenhouse gas emissions, location, project lead and grant offer terms and conditions.

The Sustainable Aviation Fuel (SAF) Mandate cost-benefit analysis set out the estimates of the impact on an average one-way ticket price (Sustainable aviation fuel mandate: final stage cost benefit analysis). This analysis assumes that airlines pass on 75% of the additional costs of the SAF Mandate onto consumers. The year-on-year costs for different ticket-types was not part of the cost-benefit analysis, as this will be dependent on how individual airlines choose to distribute additional costs.

Eligibility criteria for the Low Carbon Fuels Fund will be provided in the guidance for applicants, which will be released upon the launch of the competition this summer. In the previous Advanced Fuels Fund competition, eligibility criteria included the categories of main fuel output, technology readiness level, feedstocks, greenhouse gas emissions, location, project lead and grant offer terms and conditions.

The latest SAF Mandate 2025 provisional statistical release was published on 13 May 2026. These provisional statistics show that, in 2025, over 2% of all reported aviation fuel supply was verified and unverified SAF. Whilst these statistics are provisional, and it is too early to assess levels of supply in 2030, they show a continued increasing trend of SAF supply growing in the UK. Final statistics for 2025 will be published in November.

As previously stated, an assessment of the costs of SAF policies and the impact on air fares was conducted as part of the published SAF Mandate cost-benefit analysis.

The SAF Mandate is designed to protect against excessive costs being passed on to passengers with a buyout option for obligated suppliers, with a built-in review process so the Government can take action if necessary. How airlines choose to pass on costs to passengers will be a commercial decision for each airline. As such, it is not possible to predict how individual airlines will choose to do this or the impacts this will have on UK outbound travel routes.

The high-level assessment criteria for the Low Carbon Fuels Fund will be released in the guidance to applicants when the competition window launches this summer.

High-level scoring criteria for the Low Carbon Fuels Fund will be provided in the guidance for applicants upon the launch of the competition. However, weightings of these scoring criteria are not released in order to maintain a competitive bidding process. Carbon savings, value for money, UK job creation, regional economic growth and energy security are important aspects of UK sustainable aviation fuel (SAF) projects and are relevant to the objectives of the scheme. In particular, carbon savings against traditional jet fuel is a key characteristic of SAF, and value for money (including job creation) is critical to ensuring management of public funds. The high-level scoring criteria for the Advanced Fuels Fund included the categories: project relevance, technical approach (including greenhouse gas emissions), commercial approach and project implementation.

Applicants to the Low Carbon Fuels Fund will be assessed through a competitive process, scored against set and weighted assessment criteria. High-level scoring criteria will be released in the guidance to applicants upon the launch of the competition this summer. Jobs, supply chains, and economic growth in the UK are all important aspects of UK SAF projects relevant to the objectives of the scheme.

We do not publish data on the country in which Sustainable Aviation Fuel (SAF) supplied to the UK was produced. Our SAF mandate statistical series does however present data on the country of feedstock origin of fuel supplied. The link to the latest provisional tables can be found on the SAF Mandate statistics collection pages. Final data for the 2025 SAF Mandate obligation year will be published in November 2026.

We expect the £219m of capital funding available through the Low Carbon Fuels Fund to be invested directly into progressing projects through the early lifecycle stages towards a Final Investment Decision, by contributing to development costs, whilst maintaining a pipeline of demonstration projects to diversify technology. Projects able to evidence match funding, such as private sector investment, will be scored preferentially during the assessment process and so have more likelihood of success. Until the bidding process is complete, we will not have a view on the level of private investment supported but for comparison the Advanced Fuels Fund leveraged £76.5m match funding against £198m allocated through grant funding.

The SAF Mandate is designed to protect against excessive costs being passed on to passengers with a buyout option for obligated suppliers. How airlines choose to balance costs between domestic and international routes will be a commercial decision for each airline. As such, it is not possible to predict how individual airlines will choose to do this or the impacts this will have on domestic routes.

To be eligible for funding under the Low Carbon Fuels Fund, the lead applicant organisation would need to be registered in the UK, and the project itself must be located in the UK. Subject to fulfilling wider eligibility criteria that will be announced in due course, and passing due diligence checks, companies with overseas owners would be eligible for funding.

An assessment of the costs of SAF policies and the impact on air fares was conducted as part of the published SAF Mandate cost-benefit analysis. There has not been an assessment of the impact on holiday package prices.

The Sustainable Aviation Fuel Cost Benefit is available at: https://assets.publishing.service.gov.uk/media/66601969dc15efdddf1a872d/uk-saf-mandate-final-stage-cost-benefit-analysis.pdf, see section 4 for ticket price impacts.

We recognise the need to protect consumers and factored this into the design of the Sustainable Aviation Fuel Mandate through the inclusion of a buyout option for obligated suppliers, which protects end users (passengers) from excessive costs.

The Sustainable Aviation Fuel Cost Benefit Analysis publication provides an assessment of the ticket price impacts of the SAF Mandate, including a detailed description of the pass-through assumption (Section 3; Annex 7.4). The full cost benefit analysis is available at: https://assets.publishing.service.gov.uk/media/66601969dc15efdddf1a872d/uk-saf-mandate-final-stage-cost-benefit-analysis.pdf

Lifecycle analysis of UK road vehicles conducted by Ricardo on behalf of the Department for Transport indicates that battery-electric heavy goods vehicles (HGVs) have the lowest lifecycle greenhouse gas emissions when compared with diesel, hydrogen fuel cell, and gas-powered HGVs.

Hydrogen fuel cell HGVs are currently projected to have slightly lower lifecycle emissions than diesel HGVs. While their emissions are expected to reduce over time as hydrogen production decarbonises, they are projected to remain higher than those of battery-electric HGVs.

The analysis did not specifically assess biomethane or Hydrotreated Vegetable Oil (HVO)-fuelled HGVs. However, it did consider diesel HGVs using blended biofuels more broadly. This found that, on a lifecycle basis, emissions from these vehicles are consistently higher than those of battery-electric HGVs, although results are sensitive to the specific biofuel mix used.

The department has not produced a comparative cost assessment of battery-electric, hydrogen-powered, biomethane, and Hydrotreated Vegetable Oil-fuelled HGVs.

The report is available here online: https://www.gov.uk/government/publications/lifecycle-analysis-of-uk-road-vehicles.

We recognise the need to protect consumers and factored this into the design of the Sustainable Aviation Fuel Mandate through the inclusion of a buyout option for obligated suppliers, which protects end users (passengers) from excessive costs.

The Sustainable Aviation Fuel Cost Benefit Analysis publication provides an assessment of the ticket price impacts of the SAF Mandate (Section 4) and a thorough validation of the price assumptions against literature and market data (Section 3) The full cost benefit analysis is available at: https://assets.publishing.service.gov.uk/media/66601969dc15efdddf1a872d/uk-saf-mandate-final-stage-cost-benefit-analysis.pdf.