Vat changes to some post services 2nd April

soolin

http://www.royalmail.com/customer-service/terms-and-conditions/vat-changes

Most will only affect business services but a trawl through the small print might be a good idea just to make sure there is nothing in there that affects the casual user.

This bit for instance, I can't quite work out what they mean:

Recorded Signed For™ will also become liable to VAT if purchased as an add-on to a standard rated service. In all other circumstances it will remain VAT exempt.

This bit also needs working through:

International Services (VAT will only be added to EU destinations)

and mentions: International Airsure®

plumface

Business Price Increase

Take a look at the proposed price increase for business users. EEEKKK!
Personal customers proposed price increase due in March.
Looks like i ,and many others will have to drastically increase their p&p prices.

plumface

First Class Packetpost Increases

0-100g -64%
101-250g - 32%
251-500g - 20%
501-750g - 2.5%
The above will now be in the new weight category for packets of 0-750g
751-1000g - 2.8%
1001-1250g -8%
1251-1500g - 2.5%
1501-1750g - 2.8%
1751-2000g - 2.5%
And so on,all gradually rising upto 27% increase on 3751-4000g.
Guess what most of the packets i send weigh!
Approx 70% 0-100g,10% 101-250g,10% 251-500g and 10% the rest.:mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad:

custardy

plumface wrote: »

First Class Packetpost Increases

0-100g -64%
101-250g - 32%
251-500g - 20%
501-750g - 2.5%
The above will now be in the new weight category for packets of 0-750g
751-1000g - 2.8%
1001-1250g -8%
1251-1500g - 2.5%
1501-1750g - 2.8%
1751-2000g - 2.5%
And so on,all gradually rising upto 27% increase on 3751-4000g.
Guess what most of the packets i send weigh!
Approx 70% 0-100g,10% 101-250g,10% 251-500g and 10% the rest.:mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad:

well remember,it was TNT et al who complained and got the VAT added

kevinyork

plumface wrote: »

First Class Packetpost Increases

0-100g -64%
101-250g - 32%
251-500g - 20%
501-750g - 2.5%
The above will now be in the new weight category for packets of 0-750g
751-1000g - 2.8%
1001-1250g -8%
1251-1500g - 2.5%
1501-1750g - 2.8%
1751-2000g - 2.5%
And so on,all gradually rising upto 27% increase on 3751-4000g.
Guess what most of the packets i send weigh!
Approx 70% 0-100g,10% 101-250g,10% 251-500g and 10% the rest.:mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad:

They say they have simplified packets by merging the levels from zero to 750g into one price bracket. What they have actually done is hide a 32% price increase for lighter packets. Thats appalling.

For businesses with Royal Mail accounts this comes as a triple whammy. We can no longer claim for lost items and those who are not VAT registered incur a 20% additional price increase.

kevinyork

plumface wrote: »

Guess what most of the packets i send weigh!
Approx 70% 0-100g,10% 101-250g,10% 251-500g and 10% the rest.:mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad::mad

and Royal Mail know this as they have the statistics. Its a huge increase for lighter packets and will have a huge impact on online sellers especially as they can no longer claim for lost items if they have a business account with RM.

the_lunatic_is_in_my_head

custardy wrote: »

well remember,it was TNT et al who complained and got the VAT added

VAT isn't the problem, the large price increase is along with cutting compo is.

Wouldn't mind if it was a level playing field but companies like Amazon have the power to get big discounts with threats of pulling custom whilst the rest of us pay more for less.

Obviously_the_best

Just another reason why I love franking machines

plumface

Obviously_the_best wrote: »

Just another reason why I love franking machines

Dont laugh too soon,your prices are going up in April!:rotfl:

marie-20

I still love my PPI account for the average weights which in all honesty saves me a fortune.

The increase is unbelieveable however I persume that the personal postage charges will also go up inline so in theory we will all just increase our prices by say 30p

I'm going to have to register for VAT next year so that takes the hit off it a little - nice of them to only give us 6 weeks notice though!

soolin

marie-20 wrote: »

I still love my PPI account for the average weights which in all honesty saves me a fortune.

The increase is unbelieveable however I persume that the personal postage charges will also go up inline so in theory we will all just increase our prices by say 30p

I'm going to have to register for VAT next year so that takes the hit off it a little - nice of them to only give us 6 weeks notice though!

I've been receiving updates from them about the various proposals since late November. In fact I get about 6 identical snail mail letters at each stage of the consultation.