Now, I don’t know how the 2.5% reduction in the amount of VAT we pay affects us politically, and I don’t think I want to.
I do however know that a reduction of 2.5% means that I’ll have more money in my pocket, if only for 13 months. The VAT change from 17.5% to 15% takes place on Monday, but a lot of retailers have made the change early, which is a great thing for us gadget lovers… Getting things for 2.5% cheaper is a great thing.

It couldn’t have happened at a better time either to be honest, just before Christmas when everyone is feeling the pinch of the credit crunch makes it that little bit easier to swallow. I’m guessing that we’ll all have to pay for this in 13 months time, but we should make the most of it.

So if you can, try and avoid buying anything until Monday, or go with a supplier who has already made the 2.5% cut. Amazon and Dixons are two companies who have made the change to the lower VAT rate.

So how much can you save?
If you purchased an item for £100 and added the 17.5% VAT to that it would cost £117.50, with the new VAT rate the same item would cost £115, a saving of £2.50