25 Jun '12, 1am

Can the UK maintain low VAT on nrgy saving products? Its be vital to the success of the #GreenDeal

The European Commission has offered the UK a way round a ruling that would otherwise stop energy saving materials receiving tax exemptions - a move that experts have warned could undermine the success of the government's Green Deal energy efficiency programme. The Commission last week ordered the UK government to remove a law that allows reduced rates of VAT on insulation materials and solar panels , on the grounds that it failed to comply with the EU's VAT Directive. FURTHER READING Treasury could fight EU calls to end tax breaks for energy-saving goods Green Investment Bank to avoid risky marine power, says chairman Reduced VAT rates can be applied only to goods and services listed in the Directive, such as water and some food. Industry insiders maintain low rates of VAT will play an important role in ensuring the success of the government's flagship Green Deal energy ef...

Full article: http://www.businessgreen.com/bg/news/2186557/eu-holds-hop...

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