Following recent government publicity regarding the provision of grants to encourage householders to make their homes more energy efficient; together with concerns about potential risks to the gas supply and rising costs means clients are increasingly interested in whether there are any VAT reliefs available. Please could you clarify?

The reduced rate of VAT at 5% for the installation of certain energy saving materials (ESMs) in residential accommodation was first introduced in 1998 and the provision has been extended and revised over the subsequent years. Details of the current treatment can be found in Notice 708/6.