#1
What is it and how will it affect me?

I got a text today from Orange (mobile provider) saying that 'due to the VAT cut, for every ten pounds I top up by, I get 25p extra'.

I've also read on some websites that 'small businesses will suffer' from it.

I've been looking pn the BBC website, but the search function is useless.

So does anyone know what it is/care to explain it and know how much the cut from 17.5% is??

And, yes, I did use the searchbar.
#2
It's a vain attempt by the Government to get everyone in the U.K spending money they don't have in order to "save" to economy. It won't work though.
#3
It's been cut to 15% for the time being, then the government is going to increase it to 20% ish to recoup the money they'll have had to borrow instead. Overall it's a stupid stupid plan and means every shop has to reprice everything just before christmas.
#4
I believe it's 2% I like it i saved £16 on my new bass because of the reduction.
#5
It's now 15%. Small businesses should be helped really, they can buy stock for cheaper and stuff.

It makes little difference to consumers though.. I got a £400 computer last week and I think the vat cut made about £8 difference.
#8
Realistically this means nothing to most people.

We'll pay slightly less for stuff now and be whacked with higher prices in 2 years.
#9
It's a another chapter in the labour parties "**** up the economy further" episode.
#10
Quote by sleazydan
It's a another chapter in the labour parties "**** up the economy further" episode.



Couldn't of said it better mate. Also people remember, a tax cut now is a tax hike later.
#11
^ haha, exactly how is it the labour parties fault... it's the downside of capitalism that we need a collapse every decade or so....like at the end of the last conservastive government... and it should make a slight difference, but what they need to do is nationalise all the **** industries that r doing bollox asll
#12
Quote by wooftang999
^ haha, exactly how is it the labour parties fault... it's the downside of capitalism that we need a collapse every decade or so....like at the end of the last conservastive government... and it should make a slight difference, but what they need to do is nationalise all the **** industries that r doing bollox asll

So whose fault is it your shift/caps lock button doesn't work?
#13
Quote by wooftang999
^ haha, exactly how is it the labour parties fault... it's the downside of capitalism that we need a collapse every decade or so....like at the end of the last conservastive government... and it should make a slight difference, but what they need to do is nationalise all the **** industries that r doing bollox asll


It's not entirely labours fault for getting into the mess but initiatives like lowering tax by a mere 2.5% only to increase tax in the future is just a complete mistake.

I heard something on the news like the government will need to scrape up £12b in order to make up for this tax decrease EVEN whilst increasing income tax on those earning in excess of £150k a year. That is simply not on at all i'm afraid, labour won't get another turn in the next elections i'm certain.
#14
^ haha brillaint argument there, it's an internet site as long as people can understand me who cares?

edit: to one above thast guy, the guy above me is probably right but i think we'd be better off not just listening to ****ty papers but meh
#15
Quote by wooftang999
exactly how is it the labour parties fault
Many, many reasons.