VAT rate changes in 2025: year-end roundup

2025 brought several substantial VAT changes. Slovakia and Romania changed their headline rate structures, Estonia increased both standard and selected reduced rates, and Finland moved many supplies into a different reduced-rate band.

Slovakia: standard rate 23%, with 19% and 5% reduced rates

From 1 January 2025, Slovakia increased its standard VAT rate from 20% to 23%. The former 10% reduced rate was replaced by two reduced rates: 19% and 5%, each applying to specified goods and services.

Source: Financial Administration of the Slovak Republic – 2025 VAT changes

Estonia: reduced-rate changes and a 24% standard rate

On 1 January 2025, Estonia increased VAT on accommodation (including accommodation with breakfast) from 9% to 13%, and on press publications from 5% to 9%. On 1 July 2025, the standard VAT rate increased again, from 22% to 24%.

Source: Estonian Tax and Customs Board – VAT changes

Finland: wider use of the 14% reduced rate

From 1 January 2025, most goods and services that had been taxed at Finland’s 10% rate moved to 14%. Newspapers, magazines and public broadcasting remained at 10%, while sanitary protection products and baby diapers moved from 25.5% to 14%.

Source: Finnish Tax Administration – rates of VAT

Romania: standard rate 21% and reduced rate 11%

From 1 August 2025, Romania increased its standard VAT rate from 19% to 21% and applied an 11% reduced VAT rate to qualifying supplies. The detailed list of goods and services is set out in the tax authority’s guidance.

Source: Romanian National Agency for Fiscal Administration – VAT changes from 1 August 2025

United Kingdom: private-school fees became taxable at 20%

From 1 January 2025, education, vocational training and boarding supplied for a charge by private schools became subject to the UK’s 20% standard VAT rate. This is a sector-specific change; it did not alter the UK’s general VAT rate table.

Source: HM Revenue & Customs – VAT on private school fees

What did not change?

No other permanent, nationwide headline-rate changes were identified in 2025 among the countries covered by VATCalculator.eu. These articles are summaries, not transaction-specific advice: the applicable rate can depend on the supply, date of supply and territory.