Domestic Energy (Value Added Tax) Bill

Key Points

• Core change: VAT would be removed from supplies of electricity, oil and gas used for domestic purposes.
• Scope includes domestic use and related provisions described as 'connected purposes'.
• Originating house: Commons and sponsor: Sir Christopher Chope (Conservative).
• If enacted, the measure could reduce energy bills for households and affect VAT revenue; it would need passage through the usual later stages of the Commons and Lords.
• Notes: This is at the early stage of the legislative process (second reading) and would require further scrutiny and approval to become law.

Progress

The Bill is at the second reading in the House of Commons. If it progresses, it would move on to committee stage and later readings, and then to the Lords for consideration.