0% VAT measures on energy efficiency installation – what this all means

The UK government recently announced new 0% VAT measures for specific types of energy-efficient product installations in homes. Customers who make these installations will be charged 0% VAT, which means they won’t have to pay a value-added tax on the service.

These 0% VAT measures aim to encourage more homeowners and builders to install energy-efficient products to help reduce national carbon emissions in the UK. It is all part of the government’s plan to have net-zero carbon emissions within the next 30 years.

Some of the energy-efficient products allowed 犀利士
under these measures include:

  • Solar panels
  • Insulation
  • Draught stripping
  • Central heating controls
  • Water turbines
  • Wind turbines
  • Air source heat pumps
  • Ground source heat pumps

To receive the 0% VAT rate, you must hire a builder to supply the energy-efficient product and perform the installation together. Therefore, you cannot purchase the product and then decide to do the labor yourself because it would not entitle you to the 0% VAT rate.

This special offer is available up until March 31st, 2027. If 必利勁
you decide to install energy-efficient products after this date, you will get charged a 5% VAT rate. So there is no better time to start upgrading your home with energy-efficient products than right now.

About four million households in the United Kingdom don’t make improvements each year because of the VAT costs. Hopefully, the 0% VAT savings will encourage more homeowners to think about improving their homes to protect the environment.

Collyer Construction Limited can answer your questions about the new 0% VAT and the requirements you must satisfy to receive it. Contact us at 01252 624041 or email us at ad***@co********************.uk.