Call to scrap VAT on green white goods - Gas and electricity - News - Moneyfacts

News

Moneyfacts.co.uk News brings you the latest financial & economic news & reviews of the best products in the UK by our team of money experts.

Call to scrap VAT on green white goods

Call to scrap VAT on green white goods

Category: Gas and electricity

Updated: 18/08/2009
First Published: 18/08/2009

MONEYFACTS ARCHIVE
This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

The Government has been urged to remove VAT from energy efficient appliances and to consider the introduction of a car-industry-style scrappage scheme in order to both help the environment and households cut their energy bills.

The British Retail Consortium (BRC) believes such measures will create an attractive incentive for households to switch to low emissions-generating products.

The net result will not only see an improvement in the energy efficiency of UK homes, but will help people reduce their fuel costs too.

Amongst its proposals to the Chancellor ahead of the autumn Pre-Budget Report, the BRC said: "A clear signal should be given to households of the benefits of a switch to the most energy efficient products…..this could be kick started through time-limited scrappage schemes for those buying 'Energy Saving Recommended' products."

With homes thought to be responsible for 27% of the nation's carbon emissions, Stephen Robertson, director general at the BRC, believes helping householders to improve their performance is a logical step.

Fifteen million fridges, freezers and washing machines in the UK are over ten years old but it is claimed a modern, efficient fridge-freezer uses less than half the energy of a 1995 model.

"Over its lifetime it can pay for itself but having to find the cost up front puts customers off upgrading, particularly in a recession," added Robertson.

"Removing VAT and exploring the possibility of a scrappage scheme would do a lot to get old energy and water-squandering appliances out of people's homes."

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

Common energy mistakes that cost you £££

The heating system is probably working overtime at present, but what if you could cut your bills without battling hypothermia? The key is being energy efficient, yet households could be wasting hundreds of pounds by making costly energy mistakes.

4.8m people switched energy supplier last year

We’re often told of the amount we could save by switching energy supplier, and happily, the message seems to be getting through, with the number of consumers switching providers having reached record levels last year.

EDF cuts gas prices, but hikes electricity

EDF Energy has announced that it’s cutting gas prices for customers on its standard variable rate tariffs, but unfortunately, electricity customers could lose out, as they’ll see a rate increase from March next year.
 
Close