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    • phozy888
    • By phozy888 12th Apr 18, 11:24 PM
    • 6Posts
    • 16Thanks
    VAT charge on Energy bill
    • #1
    • 12th Apr 18, 11:24 PM
    VAT charge on Energy bill 12th Apr 18 at 11:24 PM
    Hi Guys,

    wanted some advice if possible. My electric rates are here : single rate & London

    The rates state VAT is included however on my bill im charged 5% VAT. Should I be paying this if my rates include VAT already ?

Page 1
    • D_M_E
    • By D_M_E 12th Apr 18, 11:52 PM
    • 1,473 Posts
    • 63,456 Thanks
    • #2
    • 12th Apr 18, 11:52 PM
    • #2
    • 12th Apr 18, 11:52 PM
    Look at the rates on the link then look at the rates on your bill.

    They should be different - the rates on the link you posted will be inclusive of VAT and the rates on the bill will be without VAT and will be lower - suppliers (or most of them) add the VAT as a final calculation when the rest of the bill has been done.
    • wavelets
    • By wavelets 13th Apr 18, 12:00 AM
    • 189 Posts
    • 66 Thanks
    • #3
    • 13th Apr 18, 12:00 AM
    • #3
    • 13th Apr 18, 12:00 AM
    Yes, unfortunately VAT on domestic fuel supplies is indeed currently 5%

    You can thank the Tories for that!

    In fact, they introduced it at 8% and were hoping the following year to raise it to the standard vate (currently 20%)

    Fortunately the Tories were defeated in this attempt, and almost as soon as Labour got in a couple of years later, they reduced it to the legal minimum of 5% where it has remained ever since.

    Once we complete Brexit, we should no longer be constrained by the 5% legal minimum, and so the rate could, in theory, be reduced back to 0% by the government

    Perhaps remember this come the next General Election?.
    • frugalmacdugal
    • By frugalmacdugal 13th Apr 18, 6:34 AM
    • 6,246 Posts
    • 5,373 Thanks
    • #4
    • 13th Apr 18, 6:34 AM
    • #4
    • 13th Apr 18, 6:34 AM

    in your link the single rate & London is 11.56p incl vat.

    So, without vat that will be 11.01p, which should be on your bill.
    Y'all take care now.
    • phozy888
    • By phozy888 4th May 18, 8:36 AM
    • 6 Posts
    • 16 Thanks
    • #5
    • 4th May 18, 8:36 AM
    • #5
    • 4th May 18, 8:36 AM
    The pence per KW on my bill ex vat is more then their listed price in vat, but the daily standing charge looks ok at 26.093 + 5% vat = 27.397

    so 1kw price should be 10.98 ex vat

    Im just double checking before I call them up

    My BIll::

    Electric Charges
    My Co-op Lite Single Elec May 19
    Electricity Unit Charge 1,080 at 0.1184 per kWh 127.87
    Electricity Standing Charge 110 at 0.26093 per day 28.70
    Total cost of Electric used: 127.87
    Total cost of Standing Charge: 28.70
    Total cost of electricity supplied (excluding VAT) 156.57
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