Question to the HM Treasury:

To ask His Majesty's Government what assessment they have made of extending VAT relief to domestic heating batteries that satisfy the Microgeneration Certification Scheme's MCS 2025 Battery: Installation Standard published on 1 January.

Installations of qualifying energy-saving materials (ESMs) in residential accommodation and buildings used solely for a charitable purpose benefit from a temporary VAT zero rate until March 2027, after which they will revert to the reduced rate of VAT at five per cent.

The Government assesses whether to add ESMs to this relief by evaluating them against the following principles: whether the primary purpose of the technology is to improve energy efficiency and reduce carbon emissions; and whether extending VAT relief would be cost effective and align with broader VAT principles.