UK E-Commerce Sites Affected by VAT Reduction

Yesterday's 2.5% decrease in VAT may have far reaching effects on e-commerce sites across the UK. With the reduction to 15% VAT effective on Monday, 1st December 2008, e-commerce websites will be scrambling to change their prices.

For many e-commerce retailers this means editing every product across their sites individually in order to reflect the reduction in price so they can avoid customer complaints that they are taking advantage of the VAT reduction to boost profits without passing savings on to consumers.