Rishi Sunak accused of 'punishing poor' by refusing to axe VAT on holiday Covid tests
But Tories are calling on the Chancellor to take the extra set by axing VAT.
It also found the overall tax take from holiday spending could rise from £1.92billion to £2.06billion - an increase of £140million. Tests are also taxed at just five per cent in Malta and Italy and even Turkey, which taxes them at 18 per cent, is still lower than the UK. It is disgraceful that private companies are profiteering from the pandemic, and this announcement does nothing to stop that.“The right thing for the Government to do would be to zero-rate VAT for all Covid PCR tests to reduce the costs for holidaymakers.”
Lib Dem health spokeswoman Munira Wilson said: "It is disgraceful that private companies are profiteering from the pandemic, and this announcement does nothing to stop that.