Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether she has made an assessment of the potential merits of removing VAT from the energy bills of ceramic manufacturers.

VAT input tax on energy bills wholly and exclusively related to business activity can be reclaimed by VAT registered businesses.

The Government provides a range of support for business energy bills. The British Industry Supercharger includes a series of targeted measures to bring energy costs for key industries in line with other major economies. The Energy Intensive Industries Compensation Scheme provides businesses with relief for the costs of the UK Emissions Trading Scheme (ETS) and Carbon Price Support mechanism in their electricity bills. Finally, the Industrial Energy Transformation Fund supports businesses with high energy use to cut their bills and reduce carbon emissions and is available over the period to 2027.