HOPEFUL signals that Cornish pasties could escape a 20 per cent VAT hike gathered momentum when Deputy Prime Minister Nick Clegg was in Cornwall on Friday.
The Liberal Democrat leader attended a private lunch meeting at catering company Caterlink’s Bodmin headquarters, where he discussed the issue with bosses from pasty businesses Proper Cornish and Cornish Oggy Oggy.
It has been estimated that the increase could cost the Cornish economy up to £100 million, with inevitable job losses.
Now a compromise could be on the table, revolving around what exactly determines a “hot” or “cold” pasty when it is sold.
Mark Muncey, chairman of the Cornish Pasty Association, described the talks as “positive”.
Mr Clegg refused to give his own view on whether pasties should be VAT exempt, but agreed it was a major issue in Cornwall.
Source: http://www.thisiscornwall.co.uk/Pasty-tax-hopes-raised/story-16163479-detail/story.html
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