Taxis: VAT
Commons · Question 102931 · Tabled 5 Jan 2026 · Treasury · Official record
Answered 12 Jan 2026
Question
Asked by Andrew Snowden
To ask the Chancellor of the Exchequer, whether she plans to bring forward further reforms to VAT treatment within the taxi and private hire vehicle sector.
Answer
Answered by Dan Tomlinson, 12 Jan 2026
Private hire vehicle (PHV) services provided by VAT-registered businesses are, and always have been, subject to the standard rate of VAT (20%). The Government’s announcement at Autumn Budget 2025 puts an end to the exploitation of a VAT administration sch...