Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment her Department has made of the potential merits of disapplying VAT for the conversion of non-residential buildings into accommodation.

To support the delivery of new homes, conversions of buildings from a commercial to a residential use are subject to a reduced rate of VAT at 5%. The reduced 5% rate also applies to conversions of buildings from one residential use to another and to renovations of residential buildings that have been empty for at least two years.

Further information on VAT on building works can be found here: https://www.gov.uk/guidance/buildings-and-construction-vat-notice-708