VAT reduction - time to name & shame

[jacko]

ON Friday the rate of VAT applying to certain services - hotels, restaurants, hairdressers etc is being reduced.

This has been universally welcomed but there is little doubt that some chancers will use the opportunity to engage in profiteering rather than price reductions.

Is it time for a national name and shame policy of restaurants and hair salons in your locality that do not reduce prices next Friday ?

Between local radio, local press and social media it should be quite an easy exercise

We'll find out who is ripping us off and can give our business to those restaurants that have actually applied the reduction

[Berty]

Good idea. It will be interesting to see if prices in these sectors have been reduced due to the reduction in VAT.

[hammer]

This has been universally welcomed but there is little doubt that some chancers will use the opportunity to engage in profiteering rather than price reductions.

Are you serious ?

If the vat reductions aren`t passed on their competitors who pass on the reduction will get more business as their prices will be lower.

It will correct itself rather than a name & shame waste of time

[jacko]

If we were like the US and Canada then it would be all less complicated as the restaurant menu price would be exclusive of VAT and the reduction would be immediate after the rate change

[firefly123]

If we were like the US and Canada then it would be all less complicated as the restaurant menu price would be exclusive of VAT and the reduction would be immediate after the rate change

I think the US/Canada system is more complicated. The price you see is not the price you pay. I was caught out a few times on that.

[hammer]

Good idea. It will be interesting to see if prices in these sectors have been reduced due to the reduction in VAT.

Tricky enough. They should pass on the reductions and gain extra turnover.

But

Rates, insurance, light & heat etc. are rising.

They may need the extra margin to SURVIVE and continue to pay wages if they believe the prices are currently competitive.

€2.25 coffee now becomes €2.16
So they may charge €2.20 etc

[ShoutingIsLeadership]

Tricky enough. They should pass on the reductions and gain extra turnover.

But

Rates, insurance, light & heat etc. are rising.

They may need the extra margin to SURVIVE and continue to pay wages if they believe the prices are currently competitive.

€2.25 coffee now becomes €2.16
So they may charge €2.20 etc

So, in otherwords, these private sector parasites will leech off the public in order to survive? I thought the private sector was different than the public sector and if you couldn't survive you went to the wall.

Imagine if a public sector worker pulled a stunt like that

[firefly123]

€2.25 coffee now becomes €2.16
So they will charge €2.20 etc

Fixed that for ya.
Remember when the euro came in. Ripped off left right and centre.

[MaceFace]

They can charge whatever prices they want, and we are free to choose to whether to give them our custom.

This lowering of VAT is just a gift to the trade to try and allow many of them to survive. It is not about reducing the price of a dinner out by a euro in the hope that we will go out more.

Many of the sneaky ones may have already raised prices over the last few months so they can advertise that they are passing the new 3% reduction on when in fact they are not.

[MaceFace]

So, in otherwords, these private sector parasites will leech off the public in order to survive? I thought the private sector was different than the public sector and if you couldn't survive you went to the wall.

Imagine if a public sector worker pulled a stunt like that

Unless they are a monopoly or in a cartel, they can not leech off the public - the public makes a conscious decision to give them their custom. You can give your custom to one of their competitors if you wish.

The Public Sector generally works for monopolies, so if the government choose to up A&E admission costs, introduce water charges, up the TV license fee, put a levee on power, up VAT, I have no alternative.