To ask the Chancellor of the Exchequer, what estimate his Department has made of the value of deferred VAT payments under the Deferral Scheme for VAT that will become payable on or after 1 December 2020.
27 January 2021
Approximately £34bn of the VAT that was due between 20 March and 30 June 2020 was deferred until 31 March 2021. Some businesses have started to pay deferred VAT ahead of 31 March 2021 but most of the £34bn remains outstanding.
Businesses can pay deferred VAT in full by 31 March 2021 or, should they wish, they can spread payment of deferred VAT over smaller monthly instalments. Further details are available at www.gov.uk/hmrc/vat-deferral.