Has VAT been removed from electricity bills?

Yes. The government removed VAT from all domestic electricity bills from 1 October 2026 to 31 March 2027. Ofgem says the October cap would otherwise have been about £45 higher. Suppliers apply the cut automatically, including on fixed tariffs.

Evidence

Confirmed in Ofgem's October 2026 price cap announcement and its summary of changes. You don't need to do anything to get it.

Sources

Last reviewed 22 October 2026

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