Nick Ferrari grills minister over calls to slash VAT to prevent fuel bill crisis

5 January 2022, 08:33 | Updated: 5 January 2022, 08:50

Minister dismisses claims VAT cut on energy bills would help families

EJ Ward

By EJ Ward

A Minister has rejected calls to slash VAT on fuel bills claiming a 5% cut would not help many people.

The conversation comes after the Prime Minister told a Downing Street press conference that removing VAT from domestic fuel would be a "blunt instrument" to use to try to bring bills down.

Nick Ferrari questioned Care Minister Gillian Keegan on the impact for those already struggling.

"Shouldn't the government be trying to help?"

Mrs Keegan said the government was working to help those earning the least in society, pointing out there were "a number of schemes" for those who needed assistance with fuel.

"Wouldn't an easier way be to cut VAT on fuel?" Nick shot back.

But, the Care Minister dismissed the claim this would help

"To be honest, I'm not sure it would," Ms Keegan said, adding VAT on fuel was at 5% which was "very, very low."

Sir Keir Starmer visits Tyseley Energy Park in Birmingham

Yesterday, Boris Johnson suggested scrapping it would not be the most effective way to help those struggling.

He said ministers haven't ruled out further support for households facing big increases in energy charges when the price cap is reviewed

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