HMRC has published Revenue and Customs Brief 4 (2026) following a recent First-tier Tribunal (FTT) decision concerning the VAT treatment of electricity supplied at public electric vehicle (EV) charging points.
The case, Charge My Street Ltd v HMRC, found in favour of the taxpayer, concluding that electricity supplied through public EV charging points qualified for the reduced rate of VAT (5%), rather than the standard rate.
However, HMRC has applied for permission to appeal the decision and has confirmed that its position has not changed. It continues to treat electricity supplied at public EV charging points as standard-rated for VAT (20%).
Why is there a difference?
Electricity supplied to domestic premises generally qualifies for the reduced 5% VAT rate.
HMRC’s long-standing view is that public EV charging points are not domestic premises. As a result, electricity supplied through public charging stations remains subject to the standard 20% VAT rate.
What does this mean?
At present, there is still a difference in the VAT charged depending on where an electric vehicle is charged:
• Charging an EV at home is generally subject to 5% VAT.
• Charging an EV at a public charging point remains subject to 20% VAT, in line with HMRC’s current policy.
Although the tribunal ruled in favour of the taxpayer, First-tier Tribunal decisions do not create binding legal precedent. Until any appeal is concluded or HMRC changes its guidance, businesses and charging point operators should continue to follow HMRC’s published policy.
If you have any questions about the VAT treatment of electric vehicle charging or how it could affect your business, please get in touch. A&C Chartered Accountants will be happy to help.