PARLIAMENTARY WRITTEN QUESTION
Combined Heat and Power: VAT (22 July 2020)

To ask the Chancellor of the Exchequer, whether he plans to change the rate of VAT applied to micro combined heat and power units installed in dwellings and buildings used for a residential purpose.

Asked by:
Ms Abena Oppong-Asare (Labour)

Under current VAT rules, the installation of water and wind turbines is subject to the standard rate of VAT. However, the installation of other energy saving materials (ESMs) remains subject to the reduced rate of VAT when certain conditions are met.

Although there are no plans to extend the scope of the relief already in place, the Government keeps all taxes under review.

Answered by:
Jesse Norman (Conservative)
1 September 2020