BPA Disputes Claims That the EU ETS Is Diverting Container Traffic to the UK

The British Ports Association (BPA) released a report challenging the European Union's claims of alleged carbon leakage to UK ports. The organisation maintains that the rise in container traffic in the UK is explained by investment in port infrastructure and changes in shipping line networks, rather than by carriers seeking to avoid costs under the EU's Emissions Trading System (ETS).

The debate stemmed from reports by the EU ETS Observatory, set up by Spain's state port authority to analyse the competitiveness of Spanish ports, which identified a sharp rise in the UK's share of container activity in northern Europe. These findings fuelled concerns that the ETS was affecting continental ports and prompted the European Commission to propose measures targeting UK container ports.

According to the BPA, UK container volumes grew strongly in 2025, with around 85% of that increase concentrated in London following the opening of a new £350 million berth at London Gateway in late 2024, a project linked to DP World. The association pointed out that continental ports such as Rotterdam, Antwerp-Bruges and Hamburg also recorded growth over the same period, which, in the BPA's view, undermines the idea that UK gains necessarily came at the expense of those ports.

Mark Simmonds, the BPA's Director of Policy and External Affairs, said UK ports had invested hundreds of millions of pounds to attract more vessel calls and handle more cargo, warning that penalising UK ports could discourage investment and competition. The association stressed that it supports measures to cut shipping emissions, but insisted that climate policy must be based on solid evidence, and urged the UK Government and the European Commission to review the data before introducing new measures.

Lloyd's List reported that the BPA also questioned the impartiality of the Spanish body behind the allegations, arguing that the ETS evasion observatory exists to protect Spanish ports. The publication also noted that, given the many factors influencing shipping traffic, it is difficult to determine precisely how much ETS evasion is actually taking place.