Small Businesses: VAT
Commons · Question 56014 · Tabled 30 May 2025 · Treasury · Official record
Answered 9 Jun 2025
Question
Asked by Rupert Lowe
To ask the Chancellor of the Exchequer, what assessment her Department has made of the impact of the current VAT registration threshold on (small business (a) growth and (b) turnover management.
Answer
Answered by James Murray, 9 Jun 2025
At £90,000, the UK has a higher VAT registration threshold than any EU country and the joint highest in the OECD. This means the majority of UK businesses are kept out of the VAT system.