Brexit is in full action in Britain as the UK government said it has scrap VAT on women’s sanitary products as one of the first taxes to be ditched after leaving the European Union regulations on New Year’s Eve.
The EU regulations forbid member states from reducing VAT below 5 per cent on sanitary products which otherwise meant the period items were seen as luxury items and not essentials as it should be. But the zero rate VAT started January 1st 2021 after the laws no longer apply to the UK following Brexit.
Chancellor Rishi Sunak hailed the government decision saying, “I’m proud that we are delivering on our promise to scrap the tampon tax. Sanitary products are essential so it’s right that we do not charge VAT.”
Chief Executive of women’s rights charity the Fawcett Society, Felicia Willow on the new law said, “We warmly welcome the scrapping of VAT on all sanitary products and congratulate the government on taking this positive step.
“It’s been a long road to reach this point, but at last the sexist tax that saw sanitary products classed as non-essential, luxury items can be consigned to the history books.”
It has been estimated by the Treasury that the new law will save the average woman about £40 over her lifetime, with a cut of 7p on a pack of 20 tampons and 5p on 12 pads.