Electricity Bills: VAT Removal

Lord Kennedy of Southwark Excerpts

Thursday 23rd July 2026 Lords Chamber

[Lord Harper (Con)]

My Lords—

[Captain of the Honourable Corps of Gentlemen-at-Arms and Chief Whip (Lord Kennedy of Southwark) (Lab Co-op)]

My Lords, we shall hear from the Cross Benches.

[Lord Weir of Ballyholme (DUP)]

My Lords, any easing of the cost of living is to be welcomed. However, the Minister will be aware that the VAT reduction cannot be directly applied to Northern Ireland because of the rules of the Windsor Framework and the arrangements with the European Union. At best, we will have a situation in which a convoluted alternative route will have to be found, which clearly will lead at least to delays for consumers in Northern Ireland receiving any level of help. As this points to the need for a much deeper and longer-term solution, what action are the Government taking in the short term at least to get a derogation from the EU, so that Northern Ireland consumers can enjoy the same benefits as those in the rest of the United Kingdom?