Could VAT be dropped from green appliances?

19/08/2009 11:59

Britons may soon have to fork out less to go green, as the government is being urged to remove VAT from any household appliances that boast energy efficiency.

The British retail Consortium has contacted Chancellor of the Exchequer Alistair Darling to recommend he remove the tax from household products that have the ability to reduce carbon emissions and lower gas and electricity bills.

And the group claims that should the government follow its advice, by 2020 the UK's carbon emissions will have been reduced by 1.3 million tonnes a year.

This equates to one per cent of all domestic emissions.

Stephen Robertson, director general of the British Retail Consortium, said: "Retailers are already doing their bit to cut carbon but homes are responsible for 27 per cent of the nation's emissions. Helping householders improve their performance has to be the next step."

The Energy Saving Trust recommends a number of manufacturers and appliances that can help households achieve both a lower carbon footprint and cheaper gas and electricity bills.
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