Next - VAT rip-off

blue_monkey_2

I was agreeing with various parts of keiths post before it got wiped, but you clearly misunderstand what I have been saying. I've not come here to whinge but to explain for people who do not understand just what is happening out there, people who think it is 'convenient' that prices have risen.

As it goes I've not got anything to whinge about and certainly nothing to cry about in regard to my business so I think you did not read correctly. Things could not be better for me. People come to me because I am the cheapest - and that is without applying the new rate. The only reason you know is because I've told you - however, I've not passed on my price rises either like my competitors have - some you win some you lose, I am lucky to be able to do that though but others cannot.

And this is why I know that it does not matter either way, giving the cut does not make the that retailer the cheapest and I am shopping around as always.

Just to add, I've just spent around £600 in the Next sale and no VAT reduction added. And there is no complaining either as I know I paid a fair price for the goods I bought and I certainly do not think I've been ripped off in the slightest. If I thought I was being overcharged I'd not have bought them.

scootw1

All I was saying is that it seemed a bit strange that price RISES are going on when the VAT has dropped that's all. Of course I realise there are additional costs in any business but if shops are not seen to be passing on the VAT cut (which is what we are discussing here after all) then the Government move will be seen as a complete waste of time. If a shop does not pass on the cut then they should be asked why they are not. If it is increased costs to the business then fair enough but these increased costs go on all the time throughout the year and the public would expect a VAT rate cut to result in lower prices.

blue_monkey_2

Scoot, with fashion lines we are just about to enter a new season - this is why we have the sales on, to get rid of Autumn/Winter ranges. Although it seems early the shops new ranges will be for Spring/Summer and this is why the prices will go up and/or they will stop deducting the VAT at the till. It is just the time of year. I sell fashion and come the start of a season, inevitably the prices go up (one item I sell has actually gone up a huge £5 from January instead of the usual £1-£2 - and this is on top of the rise in postage charges and I was aware of this in August so it is not something unannounced, there must have been a change in their material or supplier, who knows?). So it might look like a shop has stopped passing the cut on but they probably still have but because it is the start of the season the new prices are on the labels so the cut is incorporated already. While this might not be true for every retailer this is where there is going to be confusion - some will incorporate it some will not. Asda and Tesco will have chaged their SEL's now, Toys R Us are still deducting, I only noticed as tey scanned something through after I paid. I think Argos are still deducting but this will more than likely chage when their new catalogue comes out at the end of the month and it will have the new prices in. Does that make sense, not sure if I am explaining it too well.

I am sure this is probably true for other items, even electricals, hence the sales, would you believe that it is 'Swimwear' season for us and deliveries of swimwear start arriving. In fact I've sold more this week than I have done since the summer. Strange.

scootw1

Okay fair enough. Just saying how it looks through a consumer's eyes. Not being a businessman I can't say from a business point of view

blinko

this whole VAT change was a bad idea from the start he should have just left it at 17.5 and concentrate on reducing the UK's debt

blue_monkey_2

blinko wrote: »

this whole VAT change was a bad idea from the start he should have just left it at 17.5 and concentrate on reducing the UK's debt

Ah but by reducing the VAT rate we all had something else to talk about while he slid the other tax rises in without the blink of an eye. 2p duty on Fuel and another penny on NI - this would have usually been hit with a wall of fury but no-one said anything because they were all talking about the VAT cut. It will be clawed back by a rise in Januray 2010 and I am still hedging my bets on 22.5% being implemented but it will at least be 20% to recover what has been lost. It now stands at 21.5% in Ireland as it was increased last year. It is ridiculous, it is not even 4 quesrters for us, we have 3 full quarters and another 2 partial quarters faffing around changing rates mid way.

Miss_Marple_2

Next are being very naughty, I think.

For example, in November, they issued the Spring / Summer catalogue for 2009 for preview. I ordered a white linen top from there - priced in the catalogue at £18.

It's a lovely top - however if you look at the same top on the website today - it is £18. How can that be ? The catalogue was printed way prior to 1st December, so they had no idea that the VAT reduction would take place, and the prices on the clothes presumably included all the increases necessary for them to make their normal profit. I have had the preview catalogue for many years now, and the prices in it are the same prices as are charged throughout the coming season. So - VAT reduction is not being passed on to the customer.

However, I do take issue with the OP. However badly Next have behaved with regard to the VAT amount charged, I would never, ever wish them, or any other retailer to go under - for me, that's a very poor show on the part of the OP to hope for that to happen

babybimbles

Next are one of the few retailers who in my eyes have genuine sales. I rarely ever shop in there except in the sales whenI pick up most of my children's clothes for the forthcoming year. I don't think everything is great but the sale prices are excellent and the quality very good (on most things). I do think they have increased their prices over the last couple of years but like I said, I don't shop in there except in the sale.

I for one would hate for them to go under! There's very few other high street children's clothes shop that sell great clothes at 50% off during each sale season.