Covid-19 patients will have to pay 23% more for antigen tests from Sunday as the Government is slapping VAT back on them.
People who are playing their part by keeping themselves away from already-stretched health services by testing themselves are being punished instead with major price hikes. This is despite the fact the country is experiencing another Covid spike with 737 cases reported in hospital with the virus yesterday morning and 35 very sick in ICU.
And it comes after the Chief Medical Officer Professor Breda Smith warned last week that the health service is creaking again and under its “most pressure ever” as it prepares for a winter surge of respiratory diseases, including Covid-19. Doctors are warning of a crisis too, including Dr Fergal Hickey, a senior emergency medicine consultant at Sligo General Hospital, who told RTE’s Drivetime that A&Es and GP offices are “completely and utterly gridlocked”.
Read more: Strong warning from CMO as Ireland Covid numbers jump over Christmas
He added: “It is only going to get worse.” Dublin Live observed notices in supermarkets yesterday warning customers that the price hikes are out of their control.
The VAT increase was slammed last night by opposition politicians, but the Department of Finance defended the move by saying it was being forced on them by the EU. Sinn Fein health spokesman, David Cullinane, slammed the Government for not working to avoid the hike in VAT this weekend.
He told Dublin Live: “At a time of rising Covid cases it makes no sense to bring back VAT on antigen testing. Hospitals are under huge pressure and people are being asked to attend only if absolutely necessary. In such an environment bringing back VAT on antigen tests is the wrong decision.”
A spokeswoman for the Department of Finance said: “Standard VAT rate of 23% will apply to testing kits from 1st January 2023. The VAT rating of goods and services is subject to EU VAT law, primarily Council Directive 2006/112/EC, with which Irish VAT law must comply.
“As part of the EU’s response to the pandemic Council Directive 2020/2020 of 7 December 2020 provided for the temporary zero-rating of supplies of Covid-19 vaccines and Covid-19 testing kits, subject to conditions. This measure was designed to be temporary and was introduced in Ireland from 12 December 2020.”
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