Another energy price cap question

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 steveb2006 01 Oct 2022

Do the price caps for the unit charge for gas and electricity (and standing charges) include VAT at 5%.  ?

I suspect they dont because if you look at your bill it is made up of the unit cost x  amount used + standing charge and then 5% VAT is added on to the total.

I havent heard any mention of this VAT when discussing the price caps.

Anyone know?

Steve

In reply to steveb2006:

> Do the price caps for the unit charge for gas and electricity (and standing charges) include VAT at 5%.  ?

I believe includes vat @ 5%. The published average capped unit rates for elect and gas include vat @ 5% in Government statements so I think and assume all individual region capped prices per unit published will also be vat inclusive rates as well.

”The average unit price for dual fuel customers paying by direct debit will be limited to 34.0p/kWh for electricity and 10.3p/kWh for gas, inclusive of VAT, from 1 October.” from https://www.gov.uk/government/publications/energy-bills-support/energy-bill...

Also, the online calculator on Martin Lewis’s website states prices includes vat. I would suggest it easiest just to input your usage figures in one of the online calculators to work out your bill according to the region you are in. Martin Lewis one will include the vat with theirs if I read it right.

OP steveb2006 01 Oct 2022
In reply to Climbing Pieman:

Ah ok, thanks for that.

 Michael Hood 02 Oct 2022
In reply to steveb2006:

The official appendix from OFGEM that shows the price caps in each region is excl Vat - I'm assuming that this latest government set cap is being "published" in the same way - however I suspect these documents aren't looked at by many actual users.

The typical dwelling = £2500 is incl Vat as are most articles and commentaries on the price capping.


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