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Proceeding contribution from Lembit Opik (Liberal Democrat) in the House of Commons on Tuesday, 12 May 2009. It occurred during Debate on bill and Committee of the Whole House (HC) on Finance Bill.

Finance Bill

I very much agree with my hon. Friend's point, but is there not another marketing consideration? Something that had cost £11.99 should cost about £11.73 after the VAT cut but, as we all know, the price points are heavily determined by marketing considerations—the prices tend to end with "99" and so on. Does my hon. Friend agree that the benefit of the VAT cut will almost inevitably gravitate back to the companies and businesses as they revert to the standard pricing points? No one can pretend that £11.73 is a natural pricing point or that it has any marketing advantage.

Secondary information

Type
Proceeding contribution
Reference
492 c745 
Session
2008-09
Chamber / Committee
House of Commons chamber
Subjects
Alcoholic drinks Companies Business Corporation tax Competition Capital investment Excise duties Business rates Public houses Tax allowances Tax avoidance Taxation VAT Tax rates and bands Trade competitiveness
Legislation
Finance Bill 2008-09
Link
View this Proceeding contribution on www.publications.parliament.uk