Has the new VAT been forgotten?

adandem

Has anyone else noticed that fewer stores are passing on the the new rate now and it all seems to have been forgotten?

Even some of those that did it in the initial stages seem to have reverted back.

Next is a classic example - apparently all their prices reflect the new rate which I find hard to believe as none of prices are 'odd' amounts.
I bought some jeans from them before Christmas for £28 (minus 2.5%). Same jeans - new price including cut is £30:eek:
H&M have stopped the reduction too.
The cut is clearly not helping who it was intended to help.

LinasPilibaitisisbatman

The VAT rate was meant to help retailers, it is upto retailers whether they pass it on.

There is no right for you to receive it and this wasnt the governments intention.

ManAtHome

Retail has been "price pointing" for many many years - most stuff ends up as something.99p (used to be something 19s 11d before decimalisation). They re-ticketed existing stock when the cut was announced, but new stuff is back to price-points (not that anyone could have seen that coming...).

adandem

LinasPilibaitisisbatman wrote: »

The VAT rate was meant to help retailers, it is upto retailers whether they pass it on.

There is no right for you to receive it and this wasnt the governments intention.

I didn't claim a right

The VAT rate was also meant to stimulate spending and all retailers were encouraged to pass on the cut to the customer, not pocket the difference.;)

http://news.bbc.co.uk/1/hi/business/7757854.stm

LinasPilibaitisisbatman

and there are many ways to stimulate spending without taking 2.1 % off the cover price of everything.

Companies can pass it on (or not) as they see fit.

Your whole gripe that things don't cost 2.73p etc is pathetic and ill informed.

adandem

LinasPilibaitisisbatman wrote: »

and there are many ways to stimulate spending without taking 2.1 % off the cover price of everything.


.

It wasn't my idea. :rolleyes:

anudeglory

LinasPilibaitisisbatman wrote: »

Your whole gripe that things don't cost 2.73p etc is pathetic and ill informed.

Then inform them, that's no way to remedy lack of knowledge. Jeez.


All they do is set a final price for the item, say the £30 that you pay but that amount already includes the tax. This means that the change is in the initial cost minus tax of the product.