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Alterations to housing for elderly people

The Chancellor has announced that a 5% reduced rate will be applicable to certain housing alterations for elderly people. This reduced rate will only apply to certain home adaptations and will sit alongside the VAT zero rates already applicable to certain supplies for disabled people.

The change will be effective from 1 July 2007 following discussions with representative groups.
 

Our view
There is little detail confirmed at this stage on the scope of this reduced rate. Details will no doubt follow with the consultation.