VENSAV2083 - VAT rates applying to qualifying energy-saving materials with commencement dates (table)

The table below sets out the VAT rates applying to qualifying energy-saving materials and the dates they took effect.

The term “zero rated” refers to the temporary zero rate applying until 31 March 2027 (after which the reduced rate applies).

References to Great Britain and the United Kingdom. The term ‘GB’ encompasses England, Scotland and Wales while the term ‘UK’ also includes Northern Ireland (NI).

Note that installations of energy-saving materials qualified for relief when installed in both residential accommodation and buildings intended for use solely for a relevant charitable purpose (“charitable buildings”) until 31 July 2013. From 1 August 2013 the relief was withdrawn from charitable buildings and only installations in residential accommodation qualified for the relief. From 1 February 2024 the relief for charitable buildings was reinstated and from this date installations of energy-saving materials qualify for the relief when installed in both residential accommodation and charitable buildings.

Energy Saving material	Applicable VAT rates and dates
Air source heat pumps	From 7 April 2005: reduced rated     1 October 2019: reduced rated subject to eligibility conditions (social policy conditions and 60% test)    1 April 2022 to 31 March 2027: zero rated GB (England, Scotland and Wales only) (eligibility conditions removed permanently GB)    1 May 2023 to 31 March 2027: zero rated UK wide (extended to Northern Ireland) (eligibility conditions removed permanently NI)    From 1 April 2027: reduced rated
Controls for central heating and hot water systems	From 1 April 2000:  reduced rated     1 October 2019: reduced rated subject to eligibility conditions (social policy conditions and 60% test)    1 April 2022 to 31 March 2027: zero rated GB (England, Scotland and Wales only) (eligibility conditions removed permanently GB)     1 May 2023 to 31 March 2027: zero rated UK wide (now applicable to Northern Ireland) (eligibility conditions removed permanently NI)    From 1 April 2027: reduced rated
Draught stripping	From 1 April 2000:  reduced rated     1 October 2019: reduced rated subject to eligibility conditions (social policy conditions and 60% test)    1 April 2022 to 31 March 2027: zero rated GB (England, Scotland and Wales only) (eligibility conditions removed permanently GB)    1 May 2023 to 31 March 2027: zero rated UK wide (now applicable to Northern Ireland) (eligibility conditions removed permanently NI)    From 1 April 2027: reduced rated
Electrical storage batteries	From 1 February 2024 to 31 March 2027: zero rated UK wide    From 1 April 2027: reduced rated
Ground source heat pumps	From 1 June 2004: reduced rated    1 October 2019: reduced rated subject to eligibility conditions (social policy conditions and 60% test)     1 April 2022 to 31 March 2027: zero rated GB (England, Scotland and Wales only) (eligibility conditions removed permanently GB)    1 May 2023 to 31 March 2027: zero rated UK wide (now applicable to Northern Ireland) (eligibility conditions removed permanently NI)    From 1 April 2027: reduced rated
Insulation	From 1 April 2000:  reduced rated     1 October 2019: reduced rated subject to eligibility conditions (social policy conditions and 60% test)    1 April 2022 to 31 March 2027: zero rated GB (England, Scotland and Wales only) (eligibility conditions removed permanently GB)    1 May 2023 to 31 March 2027: zero rated UK wide (now applicable to Northern Ireland) (eligibility conditions removed permanently NI)    From 1 April 2027: reduced rated
Micro combined heat and power units	From 1 June 2005: reduced rated     1 October 2019: reduced rated subject to eligibility conditions (social policy conditions and 60% test)    1 April 2022 to 31 March 2027: zero rated GB (England, Scotland and Wales only) (eligibility conditions removed permanently GB)    1 May 2023 to 31 March 2027: zero rated UK wide (now applicable to Northern Ireland) (eligibility conditions removed permanently NI)    From 1 April 2027: Reduced rated
Smart Diverters	From 1 February 2024 to 31 March 2027: zero rated UK wide    From 1 April 2027: reduced rated
Solar panels	From 1 April 2000:  reduced rated     1 October 2019: reduced rated subject to eligibility conditions (social policy conditions and 60% test)    1 April 2022 to 31 March 2027: zero rated GB (England, Scotland and Wales only) (eligibility conditions removed permanently GB)    1 May 2023 to 31 March 2027: zero rated UK wide (now applicable to Northern Ireland) (eligibility conditions removed permanently NI)    From 1 April 2027: reduced rated
Water source heat pumps	From 1 February 2024 until 31 March 2027: zero rated UK wide     From 1 April 2027: reduced rated
Water turbines	From 28 July 2000: reduced rated     1 October 2019: standard rated (reduced rating withdrawn)     1 April 2022 to 31 March 2027: zero rated GB (England, Scotland and Wales only)     1 May 2023 to 31 March 2027: zero rated UK wide (now applicable to Northern Ireland)       From 1 April 2027: Reduced rated
Wind turbines	From 28 July 2000: reduced rated     1 October 2019: standard rated (reduced rating withdrawn)     1 April 2022 to 31 March 2027: zero rated GB (England, Scotland and Wales only)     1 May 2023: zero rated UK wide (now applicable to Northern Ireland)     From 1 April 2027: Reduced rated
Wood-fuelled boilers	From 1 January 2006:  reduced rated     1 October 2019: reduced rated subject to eligibility conditions (social policy conditions and 60% test)    1 April 2022 to 31 March 2027: zero rated GB (England, Scotland and Wales only) (eligibility conditions removed permanently GB)    1 May 2023 to 31 March 2027: zero rated UK wide (now applicable to Northern Ireland) (eligibility conditions removed permanently NI)    From 1 April 2027: reduced rated