What is the current VAT rate in the UK?

The standard rate of VAT is 20%, and this applies to most goods and services. There's also a reduced rate of 5% (for things like home energy and children's car seats) and a zero rate of 0% (for most food, books, and children's clothing) for specific categories set out by HMRC. If you're not sure which rate applies to what you sell, it's worth checking HMRC's VAT rates guidance or asking your accountant, as getting it wrong can mean under- or over-charging customers.