The current VAT registration threshold in the UK is £90,000 in taxable turnover over any 12‑month period.

What the threshold means

  • If your taxable turnover reaches or exceeds £90,000 at any point in a rolling 12‑month period , you must register for VAT with HMRC within 30 days of crossing that mark.
  • If your turnover falls below £88,000 , you can apply to deregister from VAT (this “deregistration threshold” is set just below the main one to reduce businesses repeatedly crossing in and out).

Recent and upcoming changes

  • Since 1 April 2024 , the mandatory registration threshold has been £90,000 , up from £85,000.
  • There is speculation and policy discussion about lowering the VAT threshold in future years (e.g., suggestions of £60,000–£70,000 around April 2026 and even lower later), but as of early 2026 the official figure remains £90,000.

Key thresholds at a glance (UK, 2026)

Threshold type| Amount (2026)| What it means
---|---|---
VAT registration threshold (must register)| £90,000| You must register for VAT once taxable turnover hits this in any 12 months. 59
VAT deregistration threshold| £88,000| You can apply to leave VAT if turnover falls below this level. 19

Quick practical tip

Businesses often track turnover monthly using a rolling 12‑month window (e.g., for each month, add up sales from the previous 12 months) to see if they’re approaching or crossing the threshold.

Information gathered from public forums or data available on the internet and portrayed here.