From 1 May 2020, VAT on e-publications has been scrapped. Good news for those of us who subscribe to newspapers online or buy books to read on electronic devices.
The change will potentially slash the cost of e-books and newspapers making reading more accessible as people stay at home.
Newspapers will also benefit from up to £35 million additional government advertising revenue as part of the coronavirus communications campaign.
The Treasury announcement said:
Plans to scrap VAT on e-books and e-newspapers have been significantly fast-tracked in a boost to readers and publishers during the coronavirus outbreak, the Chancellor announced today.
The zero rate of VAT will now apply to all e-publications from 1 May 2020 – seven months ahead of schedule – potentially slashing the cost of a £12 e-book by £2 and e-newspapers subscriptions by up to £25 a year.
In support of the print newspaper industry, the government has also announced it will be spending up to £35 million on newspaper advertising over the next 3 months as part of its Covid-19 communications campaign to ensure the whole UK is aware of the latest government guidance an