Written question asked by Noah Law (Labour) on Tuesday, 28 January 2025, in the House of Commons. It was due for an answer on Monday, 3 February 2025 (named day). It was answered by James Murray (Labour) on Monday, 3 February 2025 on behalf of the Treasury.

Playgrounds: VAT

Question: To ask the Chancellor of the Exchequer, if she will make an assessment of the potential merits of reducing VAT for admissions fees to indoor play centres for children under 12.

Answer

VAT is a broad-based tax on consumption, and the 20 per cent standard rate applies to most goods and services. Tax breaks reduce the revenue available for vital public services and must represent value for money for the taxpayer.

One of the key considerations when assessing a new VAT relief is whether the cost saving is likely to be passed on to consumers. Evidence suggests that businesses only partially pass on any savings from lower VAT rates. The Government therefore has no plans to zero-rate VAT on admission fees for indoor play facilities.

The Government keeps all taxes under review.

Secondary information

Type: Written question
Reference: 27017
Session: 2024-26
Subjects: Fees and charges Playgrounds VAT
Link: View this Written question on www.parliament.uk

Playgrounds: VAT

Secondary information

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