AQW 52058/22-27

Mr Andrew McMurray
Alliance Party
South Down

Tabled Date: 15/09/2026
Answered On Date: 28/09/2026
Priority Written: No

Question:
To ask the Minister for the Economy, pursuant to the Minister of Finance's response to the supplementary question to AQO 3928/22-27, to detail any indications her Department has received from UK Treasury as to the sum of money the Executive will receive as part of the UK Government’s decision to cut the VAT on household electricity bills.

Answer:

The British Government announced on 21 July that VAT on domestic electricity would be reduced from 5% to 0% in Britain. At the same time, they announced that equivalent cost of living support would be provided here.

Treasury has now approved this approach, providing a £25.7 million in support. Following my announcement on 17 September, my Department will deliver this support through the Household Electricity Discount Scheme. From 6 October, eligible households will receive a single combined payment comprising the £63 NIRO Domestic Electricity Discount and the additional support equivalent to the reduction of VAT on domestic electricity from 5% to 0%, with payments made automatically by electricity suppliers.