End of VAT Relief Raises Repair Costs for UK Churches

As of early 2026, UK churches and heritage custodians are facing significantly higher church repair costs after the end of the Listed Places of Worship Grant Scheme. Repair, maintenance and roof works are now subject to VAT at the full 20% standard rate, while only a narrow range of new, detached charitable buildings still qualifies for zero-rating.

The government’s replacement £230 million funding package provides some support, but it no longer offsets VAT directly in the same way. For historic buildings, that shift means more expensive roof repairs, slower project planning and greater pressure on already stretched conservation budgets.

For churches and other heritage properties, the impact goes beyond finance.

Delayed repairs can increase the risk of water ingress, internal damage and long-term fabric deterioration, making proactive maintenance even more important. Trustees, clergy and heritage managers now need to factor VAT into every stage of repair planning.

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