The Repairing Britain petition has reached almost halfway point with 2,120 signatures posted online and 2,373 on paper. The petition urges government to allow a reduction to 5% in the VAT charged on property repairs.
While building new properties is exempt from VAT, the standard rate of 15% VAT is payable on building repair and maintenance.
Campaigners have commissioned the Teesside University Business School to prepare an academic report about the economic case for lowering VAT on building repairs and maintenance.
The force behind the Repairing Britain campaign is Garvis Snook, chief executive of Rok plc, a property repair and maintenance provider. Garvis Snook said: 'This independent report will deliver contemporary data on the likely effect on the sector and the wider economy if government were to be persuaded to reduce the VAT rate on property repairs and maintenance. It will provide academic evidence of the effect a cut would have on the construction industry labour market and the net income of the government. While the disparity in VAT rates between new builds and repairs and renovation remains, the sector will struggle to retain the skills it needs.'
Garvis Snook initially wrote to government calling for the VAT cut, but government responded by saying it only applies reduced VAT rates where it believes these would provide well-targeted and cost-effective support for its policy objectives. It also said it has targeted relief in areas of specific need in relation to empty homes and making homes more energy efficient.
The campaign's target is to achieve 10,000 signatures by April 14, 2010.
To sign the Repairing Britain petition click
here