Question to the HM Treasury:

To ask His Majesty's Government what is the annual VAT loss from zero-rating rail fares.

HMRC’s published statistics on the cost of tax reliefs^[1] provide an estimate of the cost of the VAT Zero Rate for domestic passenger transport of £5.8 billion in 2025-26. This includes other public transport such as buses; a breakdown for rail fares is not available.

^[1] Tax reliefs - GOV.UK