The Renewable Energy Association (REA) has come out against proposals by HMRC to increase VAT rates for low carbon technologies such as solar, biomass boilers and energy storage. In a Friday 3 May press release, the REA said that the VAT rate increase from 5% to 20% for many domestic installations will make it more expensive for households to reduce their carbon footprint and further slow deployment. The REA said this in its response to HMRC’s consultation on the proposed VAT increase. Head of Policy at the Renewable Energy Association Frank Gordon said: “The proposed VAT rate hike hits the small-scale renewable energy industry hard during an already difficult landscape. This change risks setting back the UK decarbonisation of homes and businesses in the UK by a number of years.” The HMRC consultation closed on Friday 3 May.