Yes, if it’s an extension to your home. Then the VAT rating is the current standard rate.
No, a building project is zero-rated, if it’s a new house standing alone.
This applies generally. But for exemptions and allowances. Plus detail on definitions of “extension” and “new house”, and to confirm VAT status, visit HMRC’s website.
Some professionals you may appoint may also charge you VAT because their services are not zero-rated and they are VAT registered.
A builder may offer to reduce the amount of VAT he charges. By suggesting you employ his tradespeople directly. They are not VAT-registered. He still manages them. This practice adds complication, risk, and is probably not lawful. Check with HMRC before even considering it.
A legitimate way to reduce overall VAT may be construction-management. A process in which you form separate contracts with each separate tradesperson. And manage them yourself. Check HMRC’s rules for that too.
