European Union (Exemption from Value Added Tax Regulation) Bill

A Bill to make provision for the United Kingdom to set Value Added Tax rates without regard to the rules set by the European Union

Originating House

House of Commons

Parliament last updated

2 May 2012

In Plain English

AI-generated

May contain errors — check source documents for definitive information.

The Bill would allow the United Kingdom to set VAT rates without regard to European Union rules. It would remove the obligation to follow EU VAT harmonisation and place VAT decisions in UK law instead. In effect, it gives the UK greater freedom to decide how VAT is charged domestically.

Key Points

Allows the UK to set VAT rates independently of EU VAT rules.
Would change or override the EU VAT framework as it applies to the UK.
Requires changes to domestic law to implement the new powers.
Currently at the 2nd reading in the House of Commons (originating in the Commons).

Progress

The bill is at the second reading stage in the Commons. The first reading took place on 24 March 2011.

Who is affected?

UK taxpayersUK consumersVAT-registered businesses (retailers and suppliers)HM Revenue & Customs (HMRC)

Generated 21 February 2026

Bill Stages

1st readingCommons

24 Mar 2011

2nd readingCommons

Committee stageCommons

Report stageCommons

3rd readingCommons

1st readingLords

2nd readingLords

Committee stageLords

Report stageLords

3rd readingLords

Royal Assent

Updates & Documents

News (1)

News - European Union (Exemption from Value Added Tax Regulation)

1 Jan 1970

The Bill failed to complete its passage through Parliament before the end of the session. This means the Bill will make no further progress.

Parliamentary Votes (0)

No recorded votes for this bill yet.