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EC wants to scrap 5% VAT on energy saving goods

This decision from the European Commission is extraordinary. The UK government has been providing lower rate VAT on relevant energy efficiency goods and services for over a decade. It is a complete mystery as to why they should after so many years be trying to quadruple VAT rates. This would mean taxing energy conservation at four times the rate of energy consumption, a market distortion that the EC should be fighting, not encouraging. Our government needs to fight this tooth and nail.

 

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