Lords committee wants to scrap VAT on electrical goods repairs

The cost of repairing electrical goods such as TVs, fridges and vacuum cleaners should not be subject to VAT to discourage people from dumping their old equipment, a government committee has recommended.

The House of Lords Science Committee said that more and more faulty electrical goods are simply being replaced with new models as customers are not prepared to pay the high costs of repairs when new appliances are getting cheaper. Scrapping VAT on repairing these goods would encourage people to retain the goods for longer and reduce the amount of waste going to landfill sites, the committee argues.

Costs of repairing a vacuum cleaner can be up to £50, TV’s, cameras and computers are often more than £100 while calling in a plumber or electrician for a faulty fridge or washing machine can be even more, The Times reports.

Further reading:

Scrapping zero VAT rate will help poor families, says IFS