Reducing VAT for all retrofit improvements would boost green growth
David Lennan , Chairman, National Warm Homes Council The next Budget on 30 October marks a real opportunity to give a boost to green growth that could help address the heat-leaking homes blighting the lives of millions of low-income households and families across Britain. But how can the Chancellor use the forthcoming budget to support homeowners to lower their emissions and bills while creating more jobs and bolstering the UK economy? With the energy price cap rising by 10% from next month, there is an increasing need to support families with home decarbonisation and offering more affordable heating options. However, the costs of retrofitting are becoming unaffordable for too many. The Federation of Master Builders claims that VAT costs put off about four million households annually from making any energy-efficiency changes to their homes. Currently, VAT relief for energy-saving materials is limited to a very prescriptive list of low-carbon technologies, barely updat...