Prescott slams "pasty tax" during Brighton visit
Former Deputy Prime Minister John Prescott has been giving away pasties, sausage rolls and pies in Brighton, in a protest about the controversial "pasty tax".
The chancellor, George Osborne announced that VAT will be introduced on hot take-away food from bakeries from October. All hot food sold will now have the tax at 20 per cent added to it.
Greggs, the bakers were quick to complain about the move and their shares slid from 550p to 520p when the move was announced in the budget last week.
The past week has seen a significant backlash against the government's plans and Lord Prescott was quick to attempt to gain political mileage out of it yesterday when he visited Brighton & Hove Albion's new home, the Amex Stadium for the first time since he gave the stadium the green light in 2005.
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VAT is already charged on fish and chips and some other takeaway food and the government has said it is creating a level playing field by adding the tax to other products. VAT is not charged on most normal food and drink sold in supermarkets.
Lord Prescott said: "This is just another tax on hard-working people and a kick in the teeth to bakers."
"There will be a consultation on the pasty tax so let's show Osborne and Cameron that we're not going to take it. We should be taxing bankers not bakers.
"We must axe the pasty tax."