Over 6.5 million people remain unaware of Government plans to hike VAT in the New Year, research shows.
Chancellor George Osborne confirmed he would impose a 2.5 per cent rise in the commodity tax, from 17.5 per cent to 20 per cent, in the Emergency Budget on June 22. The new levy will take effect from January 4, 2011.
However, a survey of 1,030 people conducted by TNS Omnibus reveals 13 per cent of the UK population are in the dark about the upcoming change.
Business development manager Bob Salmons says: “Our research suggests that consumers are not rushing out to shop before the VAT hike is introduced, despite the fact that a rise to 20 per cent will result in significant cost increases, particularly on higher priced goods.”