The government announced that VAT will be cut from household elecricity bills, with the VAT rate cut from 5% to 0% coming into effect on 1 October, 2026.
However, according to Jonathan Reynolds, business secretary, it is only funded until the end of the financial year, so keep an eye on the next budget(s) for updates.
The cut will affect England, Scotland and Wales.
Northern Ireland customers should see a similar effective reduction although this will likely not be seen explicity as a reduction in VAT due to EU rules.
source: BBC