Member Article

Was the government’s VAT hike justified?

Last week, the standard rate of VAT was increased from 17.5% to 20% as the government looks to boost tax revenues to cut its deficit.

Business groups in the region warned that retailers would be hit severely by the increase, while opponents of the rise said the poorest will be hit hardest.

The government holds the view that the rise is necessary to help bring down the UK’s high budget deficit.

bdaily wanted to hear your views on the matter on last week’s poll and the results are now in.

A total of 75 votes were registered and almost 60% of you thought the government should never have acted in this way, suggesting the hike will have a negative impact on business in the region.

Only 32% of bdaily readers believed the rise was both necessary and justified and 9% couldn’t quite make their minds up over the matter.

This was posted in Bdaily's Members' News section by Ruth Mitchell .