Written Question·Treasury·UIN 61523
Small Businesses: Taxation
Tabled: 20 June 2025
Answered: 26 June 2025
Question
Helen Grant
Conservative — Maidstone and Malling
To ask the Chancellor of the Exchequer, if she will make an assessment of the potential merits of increasing the taxable turnover SMEs can earn in a12-month period before registering for VAT.
Answer
James MurrayAt £90,000, the UK has a higher VAT registration threshold than any EU country and the joint highest in the OECD. This keeps the majority of businesses out of the VAT regime altogether.