Energy: VAT

Treasury written question – answered on 24th June 2019.

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Photo of Hywel Williams Hywel Williams Shadow PC Spokesperson (Work and Pensions), Shadow PC Spokesperson (Brexit), Shadow PC Spokesperson (Cabinet Office), Shadow PC Spokesperson (International Trade)

To ask the Chancellor of the Exchequer, what the Government's definition is of battery storage in respect of the planned increase in VAT on energy-saving materials from five per cent to 20 per cent in October 2019.

Photo of Jesse Norman Jesse Norman Financial Secretary to the Treasury and Paymaster General

Under UK VAT law, battery storage systems are not defined as energy saving materials and are subject to VAT at 20 per cent.

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