Tue, 30 Sep 2025

Tue, 30 Sep 2025 Streeting rules out VAT on private healthcare

The health secretary says "it's not happening", as ministers face questions about the prospect of tax rises.

* Health Secretary Wes Streeting has ruled out introducing VAT on private healthcare at the forthcoming Budget.
* Chancellor Rachel Reeves has repeatedly stated that Labour's manifesto commitments, including not raising VAT, will be kept.
* Economists believe taxes may need to rise in the autumn Budget to meet borrowing targets and fund public services.
* Newspaper reports suggested officials were considering broadening the scope of VAT to raise revenue, but this has been denied by Streeting.
* Former Labour leader Neil Kinnock has called for VAT on private healthcare to be introduced to raise money for the NHS.
* The Good Growth Foundation think tank estimates that putting VAT on private acute healthcare could raise over £2bn.
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