Nadia McDonald
Foods that had their VAT slashed in January have had a price hike in March.
At the start of the year the Government decided to reduce, and in some cases, eliminate VAT on certain basic food products in order to curb inflation. However following the fiscal move the majority of products affected have risen in price.
Fresh fruit and veg have been the worst hit with a monthly increase of 5.7% since February.
Other products which have become more expensive include olive oil (+32.1%), whole milk (+30.8%) and skimmed milk (+30.3%)
The decision to suspend VAT for six months was in response to the ongoing conflict in Ukraine. Foods under the package of measures include: bread, flour, milk, cheese, eggs, fruit, veg, legumes and cereals. Olive oil and seeds also had their VAT reduced from 10% to 5%.
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