There’s a lot of speculation that George Osborne will have to raise VAT to 20% from its current 17.5% rate in his emergency budget on June 22nd.

It would, no doubt, be a temporary measure to raise revenue needed to dilute the £170 billion budget deficit.

A 2.5% increase on every day items such as a gallon of fuel, clothing items and CDs is one thing. But on costly items such a hike will not go unnoticed.

Which brings me to my favourite subject. Estate agency fees.

The average property price in Essex is £230,000. The average fee is 1.6% which equates to a sum of £3680.00.

At  20% the vat would add £736 in tax. Your total bill would be £4416.00.

To think…. Emoov can you sell your home for less than HALF what our competitors would cost you in VAT alone.

Blimey 🙂 sell homes in Barking, Basildon, Billericay, Braintree, Brentwood, Burnham on Crouch, Castle Point, Chelmsford, Colchester, Clacton, Dagenham, Epping, Harlow, Harwich, Hockley, Ilford, Ingatestone, Leigh-on-Sea, Loughton, Maldon, Rayleigh, Rochford, Shenfield, South Woodham Ferrers, Southend and Wickford. We are estate agents but our fees are much less than ordinary estate agents.

or click here to return to Emoov