Thursday, 22 March 2012

The 'pasty tax' needs to be dropped

Plans by the Government to introduce VAT on hot takeaway food from bakeries and supermarkets will actually mean a pasty tax which will cost Cornwall jobs.

Cornwall is rightly proud of the pasty - and pasty makers worked hard with Lib Dem MEP Graham Watson to get EU protected status for it. But adding 20% VAT to the price will inevitably see a drop in sales with no extra money going to the baker. Lower sales will mean job losses in areas which cannot afford them.

The Government has said that they are consulting on this proposal. I hope that they are genuinely going to listen to what people say about the impact on the Cornish economy and that they decide that a pasty tax is a bad idea.

I still think that the budget contained very good news for most Cornish residents, but this is one of the details which I hope is changed before it is too late.

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