Angus MacDonald MP is backing a campaign to keep energy saving home improvements free from VAT as households continue to face pressure from energy bills.
The Inverness, Skye and West Ross shire MP has signed a House of Commons motion calling for the current zero rate of VAT on energy saving materials to continue beyond March 2027.
The measure was introduced by the previous Conservative Government in 2022 and is due to end next March unless it is extended.
It is intended to reduce the cost of installing measures that can make homes more energy efficient and reduce the amount of energy households need to use.
The Sustainable Energy Association is campaigning for the zero rate to remain, arguing that allowing it to expire would increase costs for homeowners and landlords investing in energy efficiency.
The organisation also argues that continuing the policy could support growth within the energy sector while helping reduce demand on the energy system and greenhouse gas emissions.
The issue has particular relevance across the Highlands and Islands, where colder weather, older properties and rural housing can make the cost of keeping homes warm a significant concern for households.
Extending the VAT measure would require action by the UK Government before the existing arrangement expires.
Dave Sowden, Chief Executive of the Sustainable Energy Association, said:
“This simple policy will enable people to cut fuel bills, help with the cost-of-living crisis and also reduce emissions of greenhouse gases.
“The continuation of this policy is a no brainer.”
MacDonald said his decision to support the Commons motion was driven by the potential benefit to households in his constituency.
“I have signed this EDM to help my constituents keep warm in their homes and reduce their fuel bills.
“I will do what I can to support this campaign.”
Early Day Motions allow MPs to put an issue formally on the parliamentary record and demonstrate support among other members, although they are not normally debated or used to change the law themselves.
The campaign therefore puts additional political pressure on the UK Government rather than guaranteeing the VAT exemption will continue.
For households considering improvements designed to reduce their energy consumption, the decision matters because restoring VAT would potentially add to the cost of carrying out qualifying work.
With the current zero rate scheduled to disappear in March 2027, campaigners are now pushing for certainty before households and businesses find themselves paying more to make homes cheaper to heat.
