Friday, 28 November 2008

3UK passes on VAT cut early

3UK said Friday it will pass on the government's 2.5% cut in VAT to its customers from this weekend.

"We've moved the VAT cut forward to start on all devices and accessories purchased this weekend," said Marc Allera, sales and marketing director at 3UK.

The U.K. government's Pre-Budget Report earlier this week introduced a temporary 2.5% cut in VAT, which will take effect from the beginning of December and will last until the end of 2009.

A statement from 3 said tariffs will still be displayed at existing prices in its stores as well as online, but a price reduction will automatically be applied at the point of purchase.

Cuts will also be applied to monthly bills, while prepay customers will receive extra credit - so a £10 top up results in £10.18 worth of credit.

"VAT coming down puts a little more power in the pockets of consumers, so we thought 'why wait until December'", said Allera.

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