Just Been To Tesco's - Big Signs Being Put Up

[ralphmalph]

Looks like this VAT rise will be another damp squid like the lowering and then raising of it for the past two years, the retailers can just absorb it or tell the supplier to cut their costs.

Petrol and food is another matter altogether though but that is more inflation in the case of food.

[porca misèria]

Looks like this VAT rise will be another damp squid like the lowering and then raising of it for the past two years, the retailers can just absorb it or tell the supplier to cut their costs.

Petrol and food is another matter altogether though but that is more inflation in the case of food.

Smoke and mirrors? Surely most of what Tescos sell is zero-rated both before and after the rise.

[Self Employed Youth]

Smoke and mirrors? Surely most of what Tescos sell is zero-rated both before and after the rise.

Lemonade could rise to 19p for 2L

[Bruce Banner]

What a surprise .

http://www.housepricecrash.co.uk/forum/index.php?showtopic=156868

[Harry Monk]

Most of what they sell is zero-rated, and for the rest of it they will have ramped the price up to the max before Christmas so they are simply holding a new Years Sale with 2.5% discounts- as far as I am aware the Government has not granted Tesco an exemption to the new VAT rate.

[live in hope]

Smoke and mirrors? Surely most of what Tescos sell is zero-rated both before and after the rise.

Bought a telly from them just before christmas 170 pounds 3 days ago it was 185. they put the vat on last week

[Bloo Loo]

so is a £499 tele going to sell for £511.45 on monday?

I dont think so.

[easy2012]

Looks like this VAT rise will be another damp squid like the lowering and then raising of it for the past two years, the retailers can just absorb it or tell the supplier to cut their costs.

Petrol and food is another matter altogether though but that is more inflation in the case of food.

Not sure about that. Saw an item in a supermarket that was priced at 78p (old sticker still there) and now "on offer" 2 for £1.60 (or £1.04 each).

When queried, the 'associate' just took the old label off..

[dubsie]

VAT increase will kill retail sales. They will absorb the costs on key items but you watch your fuel bills.

In the end we are going to end up spending more but getting a lot less.

They should have just raised income tax for those earning 40,000. That would have kept the economy stable while raising taxation.

Edited December 31, 2010 by dubsie

[19 year mortgage 8itch]

They should have just raised income tax for those earning 40,000. That would have kept the economy stable while raising taxation.

[Harry Monk]

Not sure about that. Saw an item in a supermarket that was priced at 78p (old sticker still there) and now "on offer" 2 for £1.60

Ah, this is a variation on a very old marketing trick.

I set up an apple stall, and erect a sign reading "APPLES, 50p each or 3 for £2".

Somebody smart will then come along and read this sign. They may have wanted only one apple, or they may not have wanted to buy any apples at all. But they will buy an apple from me for 50p, then another, then another, and will then walk off with their pockets full of apples, chuckling to themselves about the way they took advantage of my stupidity

[Darkman]

so is a £499 tele going to sell for £511.45 on monday?

I dont think so.

No, because Monday is a holiday.

But it'll be £549.99 by Tuesday

[ken_ichikawa]

They should have just raised income tax for those earning 40,000. That would have kept the economy stable while raising taxation.

Erm what makes you think they already haven't done this or rather are proposing it? NIC used to be 1% above a certain level, its going to 2%.

The tax bands have also shrunk at the top end.

The personal allowances have yet again been frozen.

NIC eers is + 1%

EEs is +1%

Many fixed expensives claims are being cut in half.

BIK C02 ratings continue to fall.

[longtomsilver]

No, because Monday is a holiday.

But it'll be £549.99 by Tuesday

+1

That's what I was going to say.

The big players have been putting their prices up since November.

Snapshot of four purchases I kept an eye on (the only 4 BTW) at Tesco

Sour Dough Bread was £1.59 now £1.79

Pack of four paninis was £1.18 now £1.29

Cheese puffs x6 was 99p now £1.09

Bananas were 69p/kg now 87p

Fuel is up 3p a litre already 'before' the duty/escalator rise and the pound has got stronger against the dollar while the price of a barrel of oil has remained fairly flat.

Edited December 31, 2010 by tomposh101

[porca misèria]

so is a £499 tele going to sell for £511.45 on monday?

I dont think so.

Erm, why would they raise it by more than the VAT rise? We all know, consumer electronics go down, not up!

[Bloo Loo]

VAT increase will kill retail sales. They will absorb the costs on key items but you watch your fuel bills.

In the end we are going to end up spending more but getting a lot less.

They should have just raised income tax for those earning 40,000. That would have kept the economy stable while raising taxation.

no, it will cut margins.

without sales, there will be no shops, no manufacturers, so all will find a cut in costs somewhere.

[longtomsilver]

no, it will cut margins.

without sales, there will be no shops, no manufacturers, so all will find a cut in costs somewhere.

The cuts won't be found in logistics, primary or secondary. It will be tertiary, job cuts!

[ken_ichikawa]

The cuts won't be found in logistics, primary or secondary. It will be tertiary, job cuts!

Well I visited a Tesco quite recently, the self serve checkouts used to be 4 to one supervisor now its 12 per one supervisor.

[easy2012]

Well I visited a Tesco quite recently, the self serve checkouts used to be 4 to one supervisor now its 12 per one supervisor.

Think it is just holiday and most staffs are off.

Also, mobile phone contracts that used to be sold for £15 are now on £15.99 already.

But of course Mervyn can't see inflation from BoE office window..

[OnlyMe]

Think it is just holiday and most staffs are off.

Also, mobile phone contracts that used to be sold for £15 are now on £15.99 already.

But of course Mervyn can't see inflation from BoE office window..

Not just Tescos, the self service checkouts are sprouting up all over the supermarkets. Knock down the number of staff to keep the queues long at the manned checkouts and add more self-service ones to slowly drive as many people to those instead. Once they have freed more standard checkout space they can then either convert the long checkouts (or have new ones installed) that can cater for shopping trolley sized purchases.

All those xxxxx supermarket moves to town to generate 300 jobs. Quite the reverse.

[Bookerman]

Surely the government doesn't care though? No matter if the company eats the VAT increase or not they still pay the 20%?

[Bear Necessities]

another damp squid

Damp Squid?

Squid?

Really?

lol

[Charlie The Tramp Returns]

Whatever Tescos charge you will still be paying 20% VAT on that purchase.

[SarahBell]

Whatever Tescos charge you will still be paying 20% VAT on that purchase.

Quite. The rush to keep sales will keep prices low.

[Charlie The Tramp Returns]

Quite. The rush to keep sales will keep prices low.

Have you not noticed how they jacked up their prices soon after the budget and the announcement of the VAT rise to 20%?

As an example their single crusty roll increased from 25p to 30p overnight, a rise of 20%. I emailed a complaint and guess what I received no reply. Even if now they don`t increase prices they have already made a bomb on their across the board increases over the last months. Their excuses they find many, the falling pound, inflation, and the failing crops on the Moon.

Not to worry I`m the Champion BOGOF man at my local Supermarkets.