The cost of most things we buy including fuel, clothes, some food and energy could be reduced with a cut on VAT, according to reports. Boris Johnson's chief of staff Steve Barclay has suggested reducing VAT from 20% to 17.5%, reports The Times.
The move could reduce the prices we pay in shops, forecourts, restaurants and to other businesses and would cost the Government £18billion.
The Prime Minister has repeatedly promised to cut taxes and a change in VAT is reported to be one option under discussion.
