Written Question·Treasury·UIN 87606

Personal Care Services: VAT

Tabled: 3 November 2025
Answered: 12 November 2025
Named Day

Question

John Milne

Liberal DemocratHorsham

To ask the Chancellor of the Exchequer, what assessment her Department has made of the potential merits of reducing VAT on labour costs to 10% for the hair and beauty sector.

Answer

Dan Tomlinson
VAT is a broad-based tax on consumption, and the 20 per cent standard rate applies to most goods and services. VAT is the UK’s third largest tax, forecast to raise £180 billion in 2025/26. Tax breaks reduce the revenue available for vital public services ...

This is an extract from the Parliament API. Search the full answer on Parliament.uk (UIN 87606) →