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Written question asked by Lord Caine (Conservative) on Tuesday, 21 July 2026, in the House of Lords. It was due for an answer on Tuesday, 4 August 2026. It was answered by Lord Pitt-Watson (Labour) on Wednesday, 5 August 2026 on behalf of the Treasury.

Electricity: Northern Ireland

Question

To ask His Majesty's Government what assessment they have made of the implications for electricity prices in Northern Ireland of the decision to disapply VAT on domestic electricity bills for six months.

Answer

The Government has announced a cut in VAT on electricity bills to give millions of households breathing space on the cost of living. These changes to VAT apply and are funded for this winter (from 1 October 2026 to 31 March 2027).

The Windsor Framework provides the legal basis and mechanism for changes to VAT on goods in Northern Ireland, and the Government has begun discussions about with the European Union on applying this mechanism for these changes.

To ensure that households in Northern Ireland receive the same support as quickly as the rest of the UK, the Northern Ireland Executive will receive comparable funding to enable it to support households in Northern Ireland with the cost of living this winter.

Secondary information

Type
Written question
Reference
HL2396
Session
2026-27
Grouped for answer
Yes
Subjects
Electricity Northern Ireland Prices VAT
Link
View this Written question on www.parliament.uk