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United Kingdom · Question · Written question

UIN 101700

Energy: Taxation

answeredUnited Kingdom· UK Parliament· EN

Introduced

18 December 2025

Last action

8 January 2026 · Answer

Status

Answered

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Subjects

Energy, Taxation

Source updated

8 January 2026

Energy · Taxation

Summary

To ask the Chancellor of the Exchequer, with reference to Budget 2025, what assessment her Department has made of the potential impact of the proposed scrapping of the Energy Company Obligation scheme on the level of energy sector tax revenue.

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Timeline

  1. 18 December 2025

    Written question

    To ask the Chancellor of the Exchequer, with reference to Budget 2025, what assessment her Department has made of the potential impact of the proposed scrapping of the Energy Company Obligation scheme on the level of energy sector tax revenue.

    Source: Commons

  2. 8 January 2026

    Answer

    The Energy Company Obligation is a regulated obligation on suppliers and is not a tax measure. However, as VAT is placed on the total cost of energy, lowering energy bills through ending this scheme will reduce the tax base for VAT on domestic energy. Thi...

    Source: Written answer

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