VAT for builders

1. Houses and flats

VAT for most work on houses and flats by builders and similar trades like plumbers, plasterers and carpenters is charged at the standard rate of 20% - but there are some exceptions.

Zero rate VAT

You may not have to charge VAT on some types of work if it meets certain conditions, including:

There’s a separate guide on VAT refunds if you’re building your own home.

Reduced rate VAT

You may be able to charge the reduced rate of 5% for some types of work if it meets certain conditions, including:

Buildings that aren’t houses or flats

You don’t need to charge VAT for construction work on certain other types of building.