Construction: VAT
Commons · Question 18881 · Tabled 14 Jul 2026 · Treasury · Official record
Answered 16 Jul 2026
Question
Asked by Maya Ellis
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of delays in HMRC VAT registration processing on construction businesses; and if she will consider changes to the VAT registration rules to allow businesses to re
Answer
Answered by Dan Tomlinson, 16 Jul 2026
Businesses can only recover input VAT once they are VAT registered. However, once registered, they may recover VAT on goods purchased up to four years before that date. HMRC processes the vast majority of VAT registration applications promptly, with 95% c...