FAQs

Most businesses are charged the standard VAT rate of 20% on energy. However, if your organisation qualifies as charitable, residential, or non-profit, or if at least 60% of your energy use is for non-business purposes, you may be eligible for a reduced rate of 5% — or even exemption in some cases.

You may qualify for reduced VAT if:

• You are a registered charity

• You operate a care home, hospice, or residential accommodation

• You provide student accommodation

• At least 60% of your energy usage is for non-business or domestic purposes

It’s not always obvious. Many energy providers apply the standard 20% rate by default. We analyse your usage and billing structure to determine if your account has been misclassified and whether you're due a refund.

We really don’t need lots of information, we take up as little of your time as possible & do the leg work for you. What we will need is 4 years statements from your Gas & Electricity providers. From that, we can gather most of the information we need.

We may need proof of charitable or residential status if applicable, and just a few contact detail questions.

You can typically reclaim overpaid VAT for up to 4 years from the date of the overpayment. Oak Advisory can assess this for you and manage the full reclaim process.

To get a refund from your energy provider, it can be as little as 12 working days. However, this is dependent on your provider, and their timeframes apply. Once we know who your provider is, we can give a more specific timeframe on this.

Not at all. VAT relief is based on your eligibility, not your supplier. We can help secure the reduced rate or exemption with your current provider.

The Climate Change Levy (CCL) is a UK government environmental tax designed to encourage businesses to improve their energy efficiency and reduce carbon emissions.  CCL is a tax added to the energy bills of businesses and public sector organisations in the UK. It applies to the supply of electricity, gas, and solid fuels (like coal) that are not for domestic or charitable use.

It was introduced in 2001 as part of the UK’s strategy to combat climate change and reduce energy use in the commercial sector.

However, charities and some residential uses (like care homes or student housing) may be partially or fully exempt from CCL, depending on their circumstances. As part of our reclaim process in regards to VAT reduction, we can also get you a refund for this.

At Oak Advisory, we:

• Review your energy bills to identify if you’ve been overcharged CCL

• Determine if you're eligible for relief

• Handle the full reclaim process with suppliers and HMRC

• Help you secure ongoing exemption if applicable

We work on a no win no fee basis. If no money is refunded to yourselves, we charge nothing.

If your reclaim is successful, our fee is 25% +VAT.