Treasury Dismisses Proposal to Lower VAT on Public EV Charging
The Treasury has turned down a proposal from ministers to reduce the VAT on public electric vehicle charging to 5%, despite support from the Department for Transport.
Editorial Staff
1 min read
Updated 17 days ago
The Treasury has rejected a plan put forth by ministers to lower the VAT on electricity used at public electric vehicle (EV) chargers to 5%.
This proposal had gained backing from the Department for Transport, which has been critical of the current VAT rate, labeling it a 'pavement tax'.
The decision comes amid ongoing discussions about how to support the transition to electric vehicles and make charging more affordable for users.