A coalition of businesses, charities, and community organisations is calling on the UK government to eliminate VAT on refurbished and repaired electronics.
The group argues that the move would make sustainable choices more affordable, help reduce e-waste, and support a circular economy.
In a formal letter to the Environment Secretary Steve Reed, over 25 signatories urged the government to treat reused electronics differently from new goods.
Currently, refurbished electronics sold by UK businesses are subject to the same 20% VAT rate as brand-new items, which campaigners say discourages consumers from choosing environmentally friendly options.
Supporters of the proposal include major names such as Currys, Back Market, Suez, the Restart Project, and a number of repair café networks across the country.
They argue that removing VAT on refurbished goods would reduce prices for consumers, encourage reuse, and extend the lifespan of electronic devices that are often discarded prematurely.
The push comes amid growing concern over the UK’s rising levels of electronic waste and a growing appetite among consumers and businesses for sustainable alternatives. Campaigners say that by making refurbished products more accessible and affordable, the UK could significantly cut down on landfill waste and boost its green economy.
Industry experts have pointed out that convenience still heavily influences consumer decisions, with many opting for next-day delivery of new items rather than considering repair services.
However, if refurbished electronics were available at significantly lower prices through reliable systems, demand for reuse would likely grow rapidly — benefiting students, low-income families, and environmentally conscious consumers alike.
The Restart Project, which works to promote repair culture in the UK, said more businesses are increasingly exploring opportunities to scale up repair and reuse services. But current policies and tax structures often make it harder and more expensive to keep products in use, limiting the reach of these efforts.
Supporters of the VAT exemption argue that repair and reuse should be central to the UK’s net zero goals. They estimate that growing the repair economy could create up to 31,000 jobs by 2035, and more than 80,000 by 2040. These would include skilled roles in electronics, maintenance, and sustainability — particularly appealing to younger people seeking future-proof careers.
Training centres and colleges across the UK are already experiencing rising demand for practical repair courses, especially from 18 to 24-year-olds who recognise the long-term value of green skills. Advocates believe that fostering these talents could revitalise communities and provide long-term employment in sectors that support both economic resilience and environmental protection.
The Treasury has acknowledged the importance of waste reduction and pointed to the circular economy taskforce, which is working on a roadmap to increase reuse and recycling in England. However, no commitment has been made on scrapping VAT for refurbished goods, with tax policy decisions expected to be addressed during upcoming fiscal events.
As pressure mounts, campaigners hope the government will seize the opportunity to align tax policies with environmental and economic priorities by supporting the growth of the UK’s repair and reuse sector.
