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TaxationBusiness·by Glasgow_JoinerRegistered member·7/28/2026

Lower the £90k VAT threshold to £0

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Lowering the VAT registration threshold to £0 would create a fairer marketplace for honest businesses. As a self-employed tradesperson who charges VAT, my prices are automatically 20% higher than competitors who stay below the £90,000 threshold. Many deliberately limit their turnover, ask customers to buy materials directly, or work cash in hand to avoid VAT altogether. This leaves VAT-registered businesses at a significant disadvantage despite contributing more in taxes. The current system rewards those who avoid or minimise their tax obligations while penalising compliant businesses. Requiring all businesses to charge VAT would create a level playing field and encourage greater tax compliance.
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