UK - VAT on fuel - A stealth tax too far?

Question

Given the eagerness of energy providers to scam their customers into paying ever higher bills, because gas, hydro, wind, nuclear and solar energy prices are linked to the price of oil (go figure), is the UK government complicit in these rises in that, they are eager to skim even more from the customer (that's you) thanks to their 'commitment' to charging VAT on energy bills?

For example, a 22% rise in the cost of gas is actually a 23.2% increase in bills.

Is the VAT on our exploding energy bills an unjustifiable stealth tax?

And does Gordon Brown actually give a...?

Answer 1

i agree

Answer 2

VAT is levied on the price of the fuel and the duty so in effect they tax a tax.  

Isn't that a little UNFAIR ?

Answer 3

it's dreadful and makes me want to move abroad. The 4th richest economy in the world with the 17th lowest standard of living. What worries me even more is that the alternative to Gordon Brown won't be any better. The conservatives will serve up the same policies behind a 'tuff love' banner. We're all f*&ked basically for at least the next ten years. It feels like the mafia are running the country. We need a revolution of sorts.

As for greenhouse gases... I don't believe for one second that these taxes have got anything whatsoever to do with the enviroment. What we produce is just a 'blip' compared to the 1 million new cars that hit the road each month in China and India alone.  China and the US will burn it up as quick as they can get their hands on it while we in the UK are being robbed by our own government. The last thing this government wants is for us to stop using fuel.

Answer 4

It is just another tax.

Bend over and take it!

I make my own Bio-diesel. The first 2,500 litres a year are duty free. (Who is counting?)

Answer 5

Brother,we are being ripped off something awful. We pay £1 for 6 tomatoes. The same tomatoes cost  20p where they are imported from. The higher the cost the more vat they get so they put huge import duties on the imports ,this ups the price then they get a fat vat charge too. We need to organise nationally and boycott institutions completely until they realise that we have the power. It is our money and our choice. For instance,we stop buying from eon and all switch to n-power. Once there,we tell them to drop the price immediately or we all switch to another provider. Even better if we could all just stop using gas for a month or two-no matter what the sacrifice. We need to organise ourselves and act-now!

I do not buy from Tescos anymore,even though they are closest. I shop at aldi and lidl and nettos. I'm saving a fortune but losing out on variety a little. So what.

Answer 6

You may not remember that when the Tories were in power

they added 17½% VAT on fuel bills, as soon as Labour

won they reduced that to 5% VAT, high energy bills are a

world-wide thing, I don't like the high bills either but it reduces

use which helps reduce greenhouse gases.