VAT hits 20%

So, here we are waiting for VAT to go up to 20% and despite the Labour opposition lobbying for a delay, it’s pretty certain to go ahead. Of course this will push up fuel prices still further, as for some reason we have to pay VAT on fuel duty (where’s the value in that?).

Now a 2.5% increase may not seem like much, but some people may remember when the rate was 8% – yes VAT has more than doubled over the years. Just stop for a moment and consider how much additional revenue the “fuel escalator” combined with the increases in the VAT rate must generate. Where does all this money go and why do successive governments feel the need to increase the tax burden again and again. Surely it is time something changed

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