I am not sure about this VAT reduction. The rate is reduced to 15% from 17.5% but excise duty on fuel is increased so the normal man in the street will pay the same price per litre. Where it falls down is with businesses. Say transport firm that claims all its VAT back. Diesel £1 per litre plus 17.5% = £1.175 but VAT all claimed back = £1. Now, diesel £1 plus 15% plus 2.5pence excise duty= £1.175 . VAT claimed back = 15 pence, so total = 1.025 pence per litre, thereby increasing transport costs for every thing that gets delivered. I am only guessing at these figures but I can't see how this will put prices down for long on goods that have to be transported, or people being transported on buses. Am I missing something? Also, what we spend anyway. Food = zero VAT. Electricity/gas = 5%, I think. Council tax would be VAT free, not sure. So how much will you spend on VAT items. If you spent £10,000 and most people won't, you will save £250. Another thing, items won't be going down by 2.5%. The calculation must be to multiply price in the shops, by 115 and divide by 117.5, a reduction of just over 2%. I may have got this all wrong so check my figures if you ever think of printing it.