Department for Transport

UK Treasury Rejects VAT Cut on Public EV Charging Amid Inter-Departmental Disagreement

The UK Treasury, led by Chancellor Rachel Reeves, rejected a proposal to cut VAT on public EV charging from 20% to 5%. This decision came despite support from the Department for Transport and pressure from EV operators, who argue the disparity unfairly penalizes drivers without home charging. HMRC is appealing a tribunal ruling that favored the lower rate.