Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether he plans to reduce VAT on broadband social tariffs.
VAT is the UK’s third largest tax forecast to raise £161 billion in 2023/24, helping to fund key spending priorities such as public services, including the NHS, education and defence. Exceptions to the standard rate have always been limited by both legal and fiscal considerations.
VAT is a broad-based tax on consumption and the 20 per cent standard rate applies to most goods and services. Exceptions to the standard rate have always been limited by both legal and fiscal considerations. This request should be viewed in the context of over £50 billion of requests for relief from VAT received since the EU referendum.
Although there are no current plans to reduce VAT on broadband social tariffs, the Government keeps all taxes under review.