News on what is being referred to as the controversial ‘pasty tax’ has even made it to the United States as evidenced by an article published in the New York Times. As if the average Briton weren’t angry enough over the Chancellor’s decision to cut taxes for the wealthy, now he is imposing a 20% tax on the sale of those beloved pastries and other takeaway snacks in Britain.
Britons are angered by the fact that the Chancellor is expecting the average taxpayer to shoulder the brunt of the burden in the austerity drive that is meant to cut spending and debt in the UK government. To show just how unique this news is to those in the US, the newspaper even gave a ‘sounds like’ description – pasty rhymes with nasty.
The current round of controversy in stems from the Chancellor’s Budget last week in which he sought to close a loophole in the VAT. Take away foods were previously exempt from this tax so that Britons were able to purchase pasties, sandwiches, pies and even rotisserie chickens without paying the point-of-sale VAT.
The value added tax on these items is 20% and to a nation that is already in the throes of a downward spiraling economy this 20% could mean the difference between whether or not the average worker can afford a tasty treat now and again. In a feeble effort to remove himself from this controversial new tax the British Prime Minister claimed that he actually personally enjoys these pastries.
The New York Times article continues to describe how Britain’s upper crust such as Mr. Osborne and Mr. Cameron are beginning to strike a false note with the British public when it comes to their insistence that everyone is in this together. Since Mr. Osborne is in line to inherit a baronetcy from his father, the average consumer in the UK is hard-pressed to believe that he has their best interests at heart. With rising fuel prices, out-of-control inflation and record numbers of jobs being lost it is no wonder he is quickly losing the confidence of his constituents.
