Domestic Energy (Value Added Tax) Bill

Key Points

• Exempts supplies of electricity, gas and oil used for domestic purposes from VAT, including connected activities.
• Aims to lower household energy bills and ease financial pressures on domestic energy users.
• Introduced in the House of Commons and sponsored by Sir Christopher Chope (Conservative).
• If enacted, the bill would require changes to VAT rules and could affect government VAT revenue.

Progress

The bill is at the second reading stage in the House of Commons; if it progresses, it would move to committee stage for detailed scrutiny.