VAT on electricity in the UK

[Norton]

What is the VAT rate on domestic use of electricity in the UK?
Thanks!
As far as I could figure out it is 5%, correct?

 

[oldsalthouse]

Yes it's 5 %

 

[alanf]

Depends who uses it:

Electricity for domestic and residential use or for non-business use by a charity. 5%
Fuel for business use is usually standard-rated

"Standard-rated" is currently 20% but can be reclaimed through the usual business VAT routes.

from http://www.hmrc.gov.uk/vat/forms-rates/rates/goods-services.htm The page has links to the latest VAT Notice 701/19

 

[drstitson]

it may be vatable but at least it's proper full-fat electric (and not half power US stuff or kW capped like in some european countries).

 

[Norton]

Domestic use is 17% here in Cyprus .

 

[alanf]

When vat was added to domestic fuel in the uk the intention was announced to raise itin stages to the standard rate. This was supposed to be a 'green' measure encouraging reduced use. However, there was an outcry about fuel poverty and the fact that it's the poor who spend disproportionately on fuel. So it has stayed at 5% ever since. Until some government decides that they don't need the votes and put it up.

 

[drstitson]

high fuel bills, if not fuel poverty, would be ameliorated somewhat if the UK adopted capped supplies. try boiling a kettle with a few lights on whilst not exceeding 3kW; let alone cooking tea whilst enjoying your 4th power shower of the day at the same time as doing the washing, drying and ironing. would put an end to those ridiculous xmas light shows in certain neighbourhoods.

 

[Tom Bick]

Lucky old me I generate all my own domestic electricity and costs me hardly anything and virtually no vat. I know its not the same but I think some of what I do can be adapted and people could save money and if ever moved back into a house have a few ideas to try.

 

[For want of a better word]

I generate all my own domestic electricity


Static.. or by burning off your own methane?...
apparently NASA experimented with astronauts home bean brew, but opted for solar !

 

[Tom Bick]

That’s just a lot of hot air icanhpit

Its solar and domestic batteries also charged when I have to move or if I run the engine through a split charge relay with domestic batteries one side and starter the other. Red diesel with approx £180 annual cost.