VAT rates — United Kingdom
| Rate | Type |
|---|---|
| 20 % | standard |
| 5 % | reduced |
| 0 % | reduced |
Which goods and services the reduced rates apply to is set by the country’s VAT law — see the source below.
Worked examples at 20 %
| Without VAT | VAT | With VAT |
|---|---|---|
| 100.00 GBP | 20.00 GBP | 120.00 GBP |
| 1,000.00 GBP | 200.00 GBP | 1,200.00 GBP |
| 83.33 GBP | 16.67 GBP | 100.00 GBP |
How to add VAT
Price without VAT × 1.2 = price with VAT. For example 100 GBP × 1.2 = 120.00 GBP.
How to remove VAT
Price with VAT ÷ 1.2 = price without VAT. The VAT inside a price = price with VAT × 20 ÷ 120. It is not the price minus 20 %.
Questions
- What is the VAT rate — United Kingdom?
- The standard rate of VAT is 20 %, reduced rates 5 %, 0 %. Rates as of 10/21/2026.
- How do I work out VAT from a price that includes it — United Kingdom?
- Divide the price by 1.2 to get the price without VAT. The VAT is price × 20 ÷ 120.
- Where do the rates come from?
- From the European Commission’s Taxes in Europe Database or the national tax authority (link below), checked on 10/21/2026. Rates change — check with the tax authority before invoicing.
Source: www.gov.uk · Formulas and rates checked: 10/21/2026