‘Sign our petition to save LVCR’
Monday 21st November 2011, 2:56PM GMT.
Christopher Bee
MILLIONS of people who buy VAT-free products from Channel Islands mail order companies are to be asked to sign a petition to save the fulfilment industry.
Christopher Bee, the managing director of postal company HubEurope, said that flyers would be sent out with CDs, DVDs and other goods to customers asking them to support the online UK Government petition.
He is also hoping that thousands of Channel Islanders will back the campaign to reverse the decision to scrap Low Value Consignment Relief.
If the petition is signed by 100,000 people, the issue it raises will be debated by MPs in the House of Commons.
Read the full story in the Jersey Evening Post. Click here for subscription details. Individual editions are also available online.
Thursday 23 February
- Fall in house prices
- Van Morrison to perform in Jersey
- St Martin's Football Club looking for new home
- 6 pages of jobs
Travel
To, from and around the Island
Airport Arrivals/Departures
Harbours Arrivals/Departures
Bus Information/Timetables
JOIN US ON...
Facebook and Twitter
Follow us on Facebook
Follow us on Twitter
Got a story? Get in touch
KIT 4 CLUBS
Win a share of £10,000
2012 is the year of the London Olympics and to celebrate this great event the Jersey Evening Post, in association with sponsors Ogier is giving all sporting clubs a chance to win a share of £10,000.
This is Jersey
Jersey Evening Post
Useful links
hoping that thousands of Channel Islanders will back the campaign
Go on Amazon (+ others) Channel Islanders get VAT free goods anyway, plus GST free. Why should we protest?
This has been coming for years. The end of LVCR is like the arrival of the dreaded bill; inevitable. Sorry Christopher.
Report abuse
Yes, calling all UK MPs! Please vote for VAT abuse and the loss of tax revenue and jobs in the UK. As it if that has any chance of getting through the House of Commons! MPs have been bombarded with complaints from small business for years. If you watch Osborne announce the changes to LVCR in the 2011 budget it gets a loud cheer! Good luck with this confused pipe dream. http://www.youtube.com/v/c_PLUBeoa9Y&fs=1&source=uds&autoplay=1
Report abuse
Crikey £1B/year extra for the UK treasury by closing LVCR not to be sniffed at I’d say.
A slice of this has paid for some great lifestyles for a few.
Report abuse
A debate in the House of Commons does not change anything.
The government will just use a three line whip to defeat it.
Report abuse
And if successful Turkeys to consider petitioning against Christmas.
Report abuse
Well done Mr Bee – someone whose actually doing something about the problem.
Ever thought of running for election??
Report abuse
Just might have a serious conflict on interest there on this issue….
Report abuse
He is only speaking up because he is going to lose his cash cow. Put him in government and we would have to offer him cash incentives just to get out of bed.
Report abuse
I’d have thought that you’ll need 100k UK citizens signing the petition, otherwise this would be open to abuse. Of course all the petition does it get the matter raised in Parliament. Nowt will change…
Report abuse
No way signing this its you guys that have spoilt it for the “real” business this was set up for THE SMALL BUSINESS!!!!
Report abuse
I agree – the big boys selling their CDs etc spoilt it for the small businesses – and for the end customers in the UK. I will continue to buy from CI as I value the quality of the products and excellent customer service – but it concerns me when I see stories that traditional businesses such as plant nurseries see this as a big enough step to put them out of business. I don’t if you’ll get it debated – look as how much fuss we had to make about getting them to “debate” (if you can call it that) the fuel price issue.
Report abuse
This is incorrect. They do not have to debate it and they certainly won’t debate the re-instigation of a VAT dodge!
Besides, here’s the wording of the petition :
“Plans to scrap Low Value Consignment Relief for goods coming in from the Channel Islands is shortsighted and reckless. It will result in either on the one hand job losses and massive costs for companies to move operations back to the mainland or consumers being forced to pay not only the VAT, but Royal Mail charges of something like £8 a time. The result either way till be severe harm to the economy. Either abandon this idea now, or start saving up for when the companies involved challenge this crazy and very likely unlawful idea.”
So in other words scrapping LVCR
1) Sends jobs back to UK
2) Results in VAT payments
3) Increases Royal Mail income
From a UK perspective what’s not to like!
Report abuse
Egg how can the UK be so horrible as to penalise a few companies in the channel islands meaning the loss of a thousand jobs or so whilst hundreds of companies have gone to the wall in the UK and their employees are on the dole?
It doesn’t make sense does it?
Report abuse
Mario, Hundreds of companies? Not really, A few, such as Woolworths, but I agree on employees on the dole, I mean, its not like we have been going through a recession and people are trying to save money by choosing the cheaper online option.
The point is that the UK are discriminating against the Channel Islands (which is what should have been put in the petition). If the UK removed LVCR from everything, then fine, but to place an Embargo on goods from Jersey and Guernsey is wrong.
Times change, and if people buy over the internet instead of in overpriced stores, its not going to change. A similar proposition went to the government in the 70’s to try to ban supermarkets as it was putting corner shop owners out of business, what happened there?
As long as the “Tax Loophole” phrase is spouted by people who don’t understand whats going on, then LVCR will be seen as “Bad”.
Report abuse
So why are UK companies putting pressure on the UK government then if LVCR has no effect on their business?
Supermarkets were a totally different kettle of fish. These businesses operated under the same regulations as the corner shop, they employed local people, not overseas staff, and they weren’t given tax advantages over their competitors were they?
As far as I am concerned this petition will be lucky to hit 4 figures it doesn’t effect enough people to make a difference. 100,000 signatures not a chance in hell.
You should know that LVCR was putting UK businesses out of business pre 2008. Unless you can give another excuse for job losses at this time?
From what I can see the only ones who will kick up a song and dance are those running these sort of businesses as they have a lot to lose, not the lowly paid workers who will be able to do other low paid work elsewhere, or perhaps better themselves.
My advice is get into another field if you can’t compete without the 20% advantage, or better still cash in by selling on to someone else.
Report abuse
Rot. The UK are not discriminating. Firstly if you look at LVCR its discriminating anyhow ! It can either be applied or not applied by an EU member state (its optional) and it can be set at a level of its choice. VAT is discriminating since that varies from product to product and country to country. Secondly the great majority of LVCR abuse comes from the CI.Fact. The UK have said if it moves to other territories they will tackle it there as well. Finally if this stupid ‘discrimmination ‘ argument wins in a challenge, the UK will be forced to stop LVCR from all locations into the UK. So how does that help the CI ? I’m sure UK traders will love it!
Report abuse
There is no discrimination with this issue. Just because you don’t like something that only affects your island doesn’t mean discrimination is taking place.
Small Jersey businesses were happily obeying the rules (that Jersey signed up to), then greedy big companies decided they wouldn’t bother obeying the rules.
Jersey broke the rules, THAT is why Jersey is now being targetted. Put the blame where it really belongs.
I certainly won’t be signing this petition.
Report abuse
Mario
Mr. Bee doth protest too much, methinks.
Report abuse
Oh dear, the UK will always win and this fight could be very damaging to other industries in Jersey in the long run.
Report abuse
We understand that the concession was made because the IRC realised that it would cost more to go through the rigmarole than it would to “grant” the concession. They would also have to pay compensation for damaged goods. Of course, the English bid to save a few quid did backfire somewhat, because their advisers no doubt lacked the foresight to see where the matter might lead, as indeed it did. Pragmatic if ill advised? Yes. Generous? No.
Naturally,the UK itself takes advantages of fiscal benefits in other jurisdictions so it follows that any taking of the moral high ground on the aprt of the Westminster buffoons would be flawed indeed!
Report abuse
I would imagine most UK taxpayers would be shocked and feel ripped off if they were aware that VAT was not paid on these goods. From my experience most of the goods in question are only slightly cheaper than equivalent VAT paid option.
20% price advantage for CI suppliers seems unfair and does not appear to be fully passed on to their UK customers.
Report abuse
Another Petition for Self-Interest? Issue here is level playing field for overseas suppliers, not whether a UK resident has the right to a cheaper DVD.
Report abuse
Sign the petition and save my business.
Report abuse
Mike
“Issue here is level playing field for overseas suppliers”
Singling out the Channel Islands does NOT achieve that
Egg
“Secondly the great majority of LVCR abuse comes from the CI.Fact”
Fact because?? A pressure group in the UK told you so — Therefore it must be eh? Actually its incorrect – tru Freighted Mail from the USA to Germany entering the European postal system with LVCR applied in Germany – then on to UK. Thats where the majority is coming from FACT !
This is discriminatory but I doubt a petition to the UK Parliament will have any effect because they have no votes to win/lose over it. Unless consumers rise up – but why would they when the USA – Germany or various Hong Kong routes are still open
Happy Shopping
Report abuse
Those are not circular shipped items and are therefore not abusive. Don’t confuse the issue. Its the circular shipping of UK product that is the issue particularly in the Horticultural sector.The level playing field argument relates to selling products produced for consumption in the UK not imports. There has never been a level playing field on imports and never could be. VAT legislation is discriminatory ? No surprise there bearing in mind its not applied evenly across the entire EU. How is that the basis of a complaint that stands any chance of being upheld ? LVCR legislation is discriminatory! Guernsey post did a piece of research that showed most LVCR goods entering UK mail came from CI .If you had seen the horticultural figures you’d know why.
Report abuse
No chance mate !!!
Report abuse
Can you please sign my petition to send back home all the foreign cheap labour that the fullfillment and other industries employed, but which are now about to bleed the social security coffers dry, who have made a detrimental impact on the quality and standard of living on this island while the owners of these companies made millions not giving a tinkers cuss to everyone who has to live with the results of their lobbying for lax immigration laws to increase their profits rather than employ local people on minimum wage thus creating massive unemployment in the young and a net export of money from the island to other parts of the world.
Yes I am Xenophobic when every Tomasz, Ricardo and Hari can walk into the island, unchallenged and gain employment.
Report abuse
Signed.
Report abuse
Xenophobic vitriol again.
“Send back home” you say, but maybe this is our home now.
“Bleed social security dry” you say but people can’t claim benefits here until they’ve been here 5 years by which time they have made lots of contributions and can be classed as “local.”.
“A detrimental impact on quality and standard of living” How can immigrants be blamed for that?
Report abuse
Lol you did this to that other cash cow Jersey Post and now someones doing it to you you want help to stop it! So apart from you people milking money out of very cheap labour and making loads of money for yourself give me another reason to support you?? Umm thought not.
Report abuse
Signed it.
(Quint’s petition, not Christopher’s)
Report abuse
The private enterprise wonders of this Island cannot work without taxpayer subsidised/foreign migrant labour wage costs. This is the free market and wages must be driven down.
Parasites
Report abuse
Hubeurope employs 40 people, 35 of these people are local Jersey qualified.
Most of the comments above are a complete joke…you really do have no idea the impact this has on local companies and therefore the knock on effects affecting you.
This industry employs 1,000 people in Jersey, all of whom pay tax (as well as the business itself), therefore they contribute to the running of the hospital, teachers for your children in states schools, the police etc etc. The staff then spend money in shops, on rent, at restaurants, in pubs, in cafes, in supermarkets etc and that directly affects you or someone you know.
You complain about the finance industry, well here is a clear cut example of an entrepreneur creating jobs and building a local business to compete with the likes of Jersey Post to bring prices down and you complain and won’t support it.
Well i don’t want to hear you complaining when they find other ways of taxing you because businesses such as this no longer exist.
Some people bore me with there complete ignorance of that doesn’t affect me or why should i care.
Just because you don’t care, it doesn’t mean others dont.
Report abuse
How many of your employees are on minimum wage?
Indirectly the taxpayers you claim are working for you(are unlikely through no fault of their own)being subsidised by the taxpayer in general due to the low wages they receive.
In other words we are subsidising an industry (your industry) where the bulk of employees have migrated here to take up low paid jobs are on minimum wage may have been here for 5 years so now qualify for subsidies from the state all so that you can abuse the British tax payers right to receive valid taxes whilst allowing a small number of directors can rake it in whilst paying your employees a pittance.
No sympathy here mate – If we bore you as I’m sure your aware there’s always a boat on the morning, oh… and the evening heck we even have planes take one of those upetoe mauve
Report abuse
Signed it.
Quint.
Report abuse
Signed the Quint one and thank you. Well overdue in the island.
Report abuse
#22 Greed. I presume individuals working in the industry are paid different wages like every job in the world.
Shall we get rid of all the co-op staff just because they are on minimum wage??
As a taxpayer myself, i’d prefer to be proping up minimum wage hard working foreigners/locals than throwing my money away on over paid many public service individuals.
Gauranteed you weren’t born in Jersey with your attitude.
This is my island, if you don’t like it, you can do one.
Support local.
Report abuse
Jambo, You can guarantee that I am very local, but much of what Greed #22 says is true. I am no xenophobe, but our islands mad open door policy benefits us little and put pressure on limited resources. Look at housing and water!
Report abuse
“Shall we get rid of all the co-op staff just because they are on minimum wage??”
No you pay them a living wage so they don’t need subsidies from the state.
“Overpaid public servants” the usual generalised rubbish a small minority of public employees receive large salaries so lets attack them all.
“Weren’t born in Jersey” Je Suis Jerrais Mauve.
If you were born in Jersey you’de have no trouble understanding that mate as I do.
Upetou mauve
Report abuse
Low wage jobs help maximise business profits for the owners and shareholders who may be one and the same. Since locals (as has been pointed out before by certain people) won’t do these jobs (if this is to be believed) it will mean this labour is from overseas.
As for your claim that all these low paid workers pay tax you’re having a laugh. I bet many aren’t and through no fault of their own I also bet that some of them are getting:-
rent rebate
child benefits
other social security payments due to not earning enough.
Some may even get all of the above.
If you are a taxpayer you will be paying for this.
How much do you think these low wage workers will be spending in the local economy? Its not like they will be rolling in it after rent is paid etc. I doubt many will have the spare cash for dining out etc as you claim.
Also when these jobs go who will be picking up the pieces? The business owners who have done very well whilst it lasted or the state?
And we haven’t touched on all those put out of work in the UK as a direct result of using LVRC to undercut them. Maybe some should be sparing a thought for them.
Report abuse
Greed, do you mean ‘Mon vieux’ or do you go around calling people ‘Seagull’in Jerriais?
Report abuse
We need more people to come the island and pay tax so cival sevants can get bigger pay offs.
Report abuse
Anyone know how the petition is progressing?
Report abuse