VAT when buying Air Source Heat Pump

I am purchasing an Air Source Heat Pump for installation at my property. This is not a new build, we're replacing a combi gas boiler. My installer is not VAT registered and the supplier of the heat pump will charge me VAT. How can I claim back the cost of the VAT on this installation?

You can't reclaim the VAT back on the materials/goods. The zero rate only applies to the supply AND installation of the system. If you have bought the materials, you will have been charged VAT and cannot get this back from HMRC or the supplier. If you are using a non-VAT registered installer, then they cannot use the zero rating relief either. it may still be cheaper to buy the materials and pay the VAT and use a non-VAT registered installer, than if you used a VAT registered installer who both supplied and installed the goods. The zero rated relief was never designed for people to DIY their heat pumps. Same rule applies for solar panels, if you buy them yourself then you'll be charged VAT, the zero rate comes from having them supplied and installed.

Hi,

Unfortunately there is no mechanism for you to reclaim the VAT and the supplier will need to charge VAT on the purchase. Please refer to the last paragraph section 2.3 in this guidance:

Installations of energy-saving materials

Thank you.