VAT rates in the United Kingdom (2026)
All current VAT rates collected in one table — use them with the VAT calculator for UK.
| Rate | Name | Applies to |
|---|---|---|
| 20% | Standard | Most goods and services |
| 5% | Reduced | Home energy, children's car seats |
| 0% | Zero | Food, books, children's clothing |
VAT registration threshold
Businesses must register for VAT with HMRC once taxable turnover exceeds £90,000 (2024+). Below the threshold, registration is usually optional but can still be beneficial if your customers are VAT-registered businesses.
Reverse charge
The reverse charge mechanism applies in the United Kingdom: when you sell to a VAT-registered business in another EU/ covered jurisdiction, you typically invoice without VAT and the customer accounts for it.
What is the current VAT rate in the United Kingdom?
The standard VAT rate is 20%, with reduced rates of 5%, 0%.
Do I have to register for VAT in the United Kingdom?
If your taxable turnover exceeds £90,000 (2024+), registration with HMRC is mandatory. Voluntary registration can make sense below the threshold if you serve VAT-registered businesses.