Affect of UK budget on cross-border shopping

formula

VAT in the UK has been increased to 20%, taking affect in January.
http://www.rte.ie/news/2010/0622/ukbudget.html

This levels the playing field price-wise with the Republic. Also, with the introduction of pay-parking in Sainsburys and other parts of Newry city, is it really worthwhile to take the trip across the border anymore to do some shopping?

I predict shopping in Dundalk will pick up as a consequence of this. People will realise the difference in prices between the Republic and Northern Ireland are closing in and so there is no advantage in shopping up North any longer.

hellboy99

Can't see it having too much of an effect to be honest, people will still go up north.

petes

When is the next Irish budget? December?

Atomic Pineapple

Insurgent wrote: »

When is the next Irish budget? December?

Exactly, our Vat rate will probably jump to match the difference in the new UK rate before it even comes into effect :pac:

formula

draffodx wrote: »

Exactly, our Vat rate will probably jump to match the difference in the new UK rate before it even comes into effect :pac:

So the Irish government will counter the British VAT rise by rising our own rate, therefore making shopping up North more appealing again...?

Kinda like shooting yourself in the foot.

petes

formula wrote: »

So the Irish government will counter the British VAT rise by rising our own rate, therefore making shopping up North more appealing again...?

Kinda like shooting yourself in the foot.

You do know who you are talking about? Right?

I'm all for keeping business here but God knows what the powers that be come up with!!

whelan1

but if there was to be a general election here before december could there be a budget before december iykwim

borderlinemeath

The UK budget doesn't come into effect until January so there will probably be a huge Christmas publicity campaign by Newry and Enniskillen Chambers of Commerce to shop in the North before the budget increase.

Sure Asda has 2 billboards in Drogheda at the minute advertising Enniskillen. Drogheda is about 2hrs away from Enniskillen!!!

Just shows that things are getting as bad across the border. I don't think many people have any spare cash to spend anywhere these days.

amacachi

Surely the changes in the exchange rate are a ****load more important?

indiewindy

amacachi wrote: »

Surely the changes in the exchange rate are a ****load more important?

Yes, the euro has lost 10% over the past few months, but the vat increase will help a bit too, even if it wont happen until next January

g32

I did my grocery shopping in Asda Enniskillen last week. I made savings ranging from 30%-60% compared to prices down here in the Republic.

The VAT increase will only marginally minimize the price gap. Unless Retailers get their act together and actually lower their prices....

hellboy99

g32 wrote: »

Unless Retailers get their act together and actually lower their prices....

As if that will happen, we'll just hear the same excuses, "we can't lower prices because of rates, wages etc ..." :rolleyes:

borderlinemeath

g32 wrote: »

I did my grocery shopping in Asda Enniskillen last week. I made savings ranging from 30%-60% compared to prices down here in the Republic.

The VAT increase will only marginally minimize the price gap. Unless Retailers get their act together and actually lower their prices....

G32, your only consistency has been your factual inaccuracies.
You don't know the difference between Duty and VAT, you don't know what VAT rate we pay, you haven't got a clue about running a business, as far as your concerned all retailers should just charge the same as the North.

Why don't you post your receipt on this thread and show that you actually only bought items that were on offer and that you could get the equivelent down here for pretty much the same price??? Buying 10 pizzas, 6 bottles of Coke and frozen chicken isn't exactly a typical shopping basket of savings is it?

And you didn't take into account how much fuel it took, depreciation on your car, or how much time it took.
Nor have you ever responded when posters pointed out the fuel prices in the north are far higher or that the northern consumer gets taxed more than the southern and has far less take home pay.

positron

g32 wrote: »

Unless Retailers get their act together and actually lower their prices....

Tesco Extra in Drogheda used to offer 1 to 1 match on Sterling prices. They stopped it, they couldn't care less about people shopping elsewhere. In fact I wouldn't be surprised if they increase the prices in general, as now the economy is 'growing' officially, and the prices are going up in North. Greedy chancers!

g32

borderlinemeath

The pot calling the kettle black.


For anyone who doesn’t know, I previously had the exact same argument on another thread with this Retailer...it's amazing. So! Maybe Borderlinemeath is the same person or the military educated him/her over there to say and to think quite the same as the other retail posters on that thread.

I posted my Asda receipt on that thread to prove that its 30-60% cheaper on groceries up north: http://www.boards.ie/vbulletin/showpost.php?p=66643897&postcount=19
Asda Enniskillen: Firelighters 48 pack (My Receipt): GBP 1.27 (EUR 1.53).

Tesco Ireland: Firelighters 48 pack: EUR 2.89

= 47% more down here!

Normal prices in both cases (not on offer).



STILL the same price as before….. despite the fact:

- VAT was cut
- Retail Rents have been slashed
- Commercial rates have been lowered
- Electricity prices have been reduced (Bord Gais)
- Labour rates have come down across the Retail sector.


…..but the savings are not being passed on to the customers by these greedy Retailers.

10green bottles

im not argueing here with you g32,but when did you buy your sterling??
@rate+comiss or holding old priced sterling??

borderlinemeath

g32 wrote: »

borderlinemeath

The pot calling the kettle black.


For anyone who doesn’t know, I previously had the exact same argument on another thread with this Retailer...it's amazing. So! Maybe Borderlinemeath is the same person or the military educated him/her over there to say and to think quite the same as the other retail posters on that thread.

I posted my Asda receipt on that thread to prove that its 30-60% cheaper on groceries up north: http://www.boards.ie/vbulletin/showpost.php?p=66643897&postcount=19
Asda Enniskillen: Firelighters 48 pack (My Receipt): GBP 1.27 (EUR 1.53).

Tesco Ireland: Firelighters 48 pack: EUR 2.89

= 47% more down here!

Normal prices in both cases (not on offer).



STILL the same price as before….. despite the fact:

- VAT was cut
- Retail Rents have been slashed
- Commercial rates have been lowered
- Electricity prices have been reduced (Bord Gais)
- Labour rates have come down across the Retail sector.


…..but the savings are not being passed on to the customers by these greedy Retailers.

G32 - you are like a broken record with your nonsense. I actually think you might be a schoolkid on their holidays- although most schoolkids I know are better educated in basic economics than you are.

Vat was cut by 0.5%. Made little or no impact on the marketplace. How is 50c per €100 spent going to be significant?

Retail rents have not "been slashed" you have never proved this - and most other posters that have told you this on the other threads have asked you to put up or shut up but you are yet to prove it.

Commercial rates have not been lowered across the board. As only one poster stated his were cut by €15 - a measly reduction but his turnover has dropped 40% so he is making a loss.
Prove that they have been cut across the board or shut up.

Electricity prices have come down but most commercial businesses had already switched to the likes of airtricity before bord gais introduced their service - which I have told you before was targeted at the private household market.
If you had a clue about running a business - you would know that commercial electricity rates are far higher than private households and the bills run into thousands every month/quarter depending on the outlet.

What mind altering drug have you taken that tells you labour costs have decreased??
Minimum wage is still the same - and that is what a lot of retail workers are on. Do you know the minimum wage in NI? From £3.64 - £5.93. So perhaps if the minimum wage was lowered in this country then prices and cost of living would fall also.
Perhaps some management have taken a pay cut - I myself am on a pay freeze at the moment. That is not a decrease.

Prices have come down across the retail sector - in every market - motor, food, clothing. That has been proven over the past year or so - some prices on imports may now increase due to the fluctuating exchange rate - but thats life, we don't live in a world with one big currency.

Time to put your little rant to bed now..you were rightly told off on the other thread by numerous posters who actually began laughing at your ridiculously brittle argument and your total lack of understanding of economics and business acumen.

borderlinemeath

positron wrote: »

Tesco Extra in Drogheda used to offer 1 to 1 match on Sterling prices. They stopped it, they couldn't care less about people shopping elsewhere. In fact I wouldn't be surprised if they increase the prices in general, as now the economy is 'growing' officially, and the prices are going up in North. Greedy chancers!

Tesco only offered sterling/euro matching on clothing for a set time.
And it was a bit of a con as they were in a price war with Asda with their George clothing.
At the same time they were running their big advertising campaign offering "pay the sterling price" in Ireland - they were concurrently running 20% off their clothing in the UK.
So we were no better off at all.

hellboy99

g32 wrote: »

STILL the same price as before….. despite the fact:

- VAT was cut
- Retail Rents have been slashed
- Commercial rates have been lowered
- Electricity prices have been reduced (Bord Gais)
- Labour rates have come down across the Retail sector.

I'm going to have to agree with borderlinemeath, I have a few friends in the retail sector and I can tell you:

- 0.5% drop in VAT is nothing.
- show me some proof that retail and commercial rents have been slashed because I can tell you it's very few that have.
- Electricity prices came down a bit for "households", more so with the likes of Bord Gais two year switchover deal, but commerical rates is a different kettle of fish and the savings aren't as big as you may think.
- Labour rates have come down, did I miss something

Yes prices can be dropped more in certain retails at the minute but unless VAT, rents, rates etc... don't come down we're not going to see a lot in the way of big price drops anytime soon.

10green bottles

The pace fairly gathers when the stag is down........hands up how many are from Dundalk and that care??what way some dub from Ashbourne county Meath!!! does their feckin shopping,and off all places in county Fermanagh.TITS GALORE. The good people off Newry shop in Craigavon to avoid the free staters............question is,where is Craigavon???? :cool:
Show us your beer reciept you liar!!

g32

borderlinemeath wrote: »

G32 - you are like a broken record with your nonsense. I actually think you might be a schoolkid on their holidays- although most schoolkids I know are better educated in basic economics than you are.

Vat was cut by 0.5%. Made little or no impact on the marketplace. How is 50c per €100 spent going to be significant?

Retail rents have not "been slashed" you have never proved this - and most other posters that have told you this on the other threads have asked you to put up or shut up but you are yet to prove it.

You challenged me to prove it was cheaper up north - I did.

My receipt proved that, and you still argued making a fool of yourself.

Before, you also argued it was cheaper down here: you were wrong.

You have not proven that the cost of operating down here remains the exact same after these reductions. This time, I ask you to prove all that.

Back it up by scanning and uploading your retail business book and overheads for 2008 and 2009.

borderlinemeath wrote: »

Commercial rates have not been lowered across the board. As only one poster stated his were cut by €15 - a measly reduction but his turnover has dropped 40% so he is making a loss.
Prove that they have been cut across the board or shut up.

You have admittedly decided what constitutes a saving and what doesn't. According to you, a reduction means an increase. Lie all you can - facts do not matter. LMAO.....

borderlinemeath wrote: »

Electricity prices have come down but most commercial businesses had already switched to the likes of airtricity before bord gais introduced their service - which I have told you before was targeted at the private household market.

No. Any business can switch to Bord Gais and save up to 10% on their electricity overheads.

borderlinemeath wrote: »

If you had a clue about running a business - you would know that commercial electricity rates are far higher than private households and the bills run into thousands every month/quarter depending on the outlet.

If the reductions mean that operating costs are still the same, something does not add up. Either you are lying or the statistics are lying.

People who live in glass houses (greedy overpriced retailers) should not throw stones.

borderlinemeath wrote: »

What mind altering drug have you taken that tells you labour costs have decreased??
Minimum wage is still the same - and that is what a lot of retail workers are on. Do you know the minimum wage in NI? From £3.64 - £5.93. So perhaps if the minimum wage was lowered in this country then prices and cost of living would fall also.
Perhaps some management have taken a pay cut - I myself am on a pay freeze at the moment. That is not a decrease.

Yes - Wage rates have been lowered for high paid workers at the top. The minimum wage is the legal threshold, so you should not turn to someone earning EUR 8.65 an hour and tell them they are earning too much. You may take a pay cut yourself before you judge others.

borderlinemeath wrote: »

Prices have come down across the retail sector - in every market - motor, food, clothing. That has been proven over the past year or so - some prices on imports may now increase due to the fluctuating exchange rate - but thats life, we don't live in a world with one big currency.

Food - We are 30% higher on prices than the EU average. Food prices have started to increase in Tesco. It is cheaper to go shopping up north.

borderlinemeath wrote: »

Time to put your little rant to bed now..you were rightly told off on the other thread by numerous posters who actually began laughing at your ridiculously brittle argument and your total lack of understanding of economics and business acumen.

I believe the posters who argued with me were you. You did confirm your vested interests previously.

hellboy99

g32 wrote: »

Food - We are 30% higher on prices than the EU average. Food prices have started to increase in Tesco. It is cheaper to go shopping up north.

You can't argue with that and as for Tesco creeping the prices up that's true also and has been going on for a while now.

As I have said before with prices here you have to factor in taxes, rents, rates etc... but even with them factored in there is still a lot of profiteering going on.

Two corner shops near me, both about a 10 minute walk apart, a white pan of Brennans bread is €2.40 in one shop, €2.20 in the other and €1.45 in Dunnes.

borderlinemeath

g32 wrote: »

You challenged me to prove it was cheaper up north - I did.

My receipt proved that, and you still argued making a fool of yourself.

Before, you also argued it was cheaper down here: you were wrong.

You have not proven that the cost of operating down here remains the exact same after these reductions. This time, I ask you to prove all that.

Back it up by scanning and uploading your retail business book and overheads for 2008 and 2009.





You have admittedly decided what constitutes a saving and what doesn't. According to you, a reduction means an increase. Lie all you can - facts do not matter. LMAO.....




No. Any business can switch to Bord Gais and save up to 10% on their electricity overheads.



If the reductions mean that operating costs are still the same, something does not add up. Either you are lying or the statistics are lying.

People who live in glass houses (greedy overpriced retailers) should not throw stones.



Yes - Wage rates have been lowered for high paid workers at the top. The minimum wage is the legal threshold, so you should not turn to someone earning EUR 8.65 an hour and tell them they are earning too much. You may take a pay cut yourself before you judge others.



Food - We are 30% higher on prices than the EU average. Food prices have started to increase in Tesco. It is cheaper to go shopping up north.



I believe the posters who argued with me were you. You did confirm your vested interests previously.

I am just myself - not multiple posters. You have already been warned by a moderator on another thread not to backseat moderate.

I didn't challenge you, a different poster did.

I however will point out when you post lies and untruths and inaccurate data. Which you have done multiple times.

I most certainly will not scan my business details on a public forum!
I value my job and I would not be stupid enough to risk my job and livelyhood to prove anything to you. It is actually the most stupid thing you have ever posted.

The 29% (not 30% as you inaccurately keep rounding it up) survey is over a year out of date.

We are not greedy retailers making millions. We are ordinary workers that pay tax and prsi that are desperately trying to keep our businesses and livelyhoods going.
As a good few other posters have told you on other threads - if retail was such a great deal - why isn't everybody doing it? Why are so many shops closing?
You won't listen as you are a narrow minded, angry little person who is incapable of listening to reason or taking part in a debate without making a total idiot out of yourself.

g32

hellboy99 wrote: »

You can't argue with that and as for Tesco creeping the prices up that's true also and has been going on for a while now.

As I have said before with prices here you have to factor in taxes, rents, rates etc... but even with them factored in there is still a lot of profiteering going on.

Two corner shops near me, both about a 10 minute walk apart, a white pan of Brennans bread is €2.40 in one shop, €2.20 in the other and €1.45 in Dunnes.

Retailers are plain greedy.Many consumers fall victim to their predatory pricing. I also bought my house paints in Enniskillen and saved EUR 80.00. My 'local' paint decor shop was looking for EUR 80.00 more on the exact same product. It was exterior Masonry paint. EUR 80.00 extra was extortionate. Retailers are shooting themselves in the foot, and they are responsible for their own demise.

locum-motion

g32 wrote: »

Retailers are plain greedy.Many consumers fall victim to their predatory pricing. I also bought my house paints in Enniskillen and saved EUR 80.00. My 'local' paint decor shop was looking for EUR 80.00 more on the exact same product. It was exterior Masonry paint. EUR 80.00 extra was extortionate. Retailers are shooting themselves in the foot, and they are responsible for their own demise.

It doesn't matter how many examples of different prices you find/post.
The costs involved in doing business in the two jurisdictions are vastly different, so you're not comparing like with like. As far as I can see, Borderlinemeath keeps posting examples of reasons why the prices are different. You keep posting examples of prices being different.

I know whose arguments are more convincing to me!

Mr Magnolia

borderlinemeath & g32, please refrain from attacking the poster, it's doing nothing for the discussion.

If anyone has a problem with a post please use the report post function.

AARRRRGH

locum-motion wrote: »

It doesn't matter how many examples of different prices you find/post.
The costs involved in doing business in the two jurisdictions are vastly different, so you're not comparing like with like. As far as I can see, Borderlinemeath keeps posting examples of reasons why the prices are different. You keep posting examples of prices being different.

I know whose arguments are more convincing to me!

Very true.
Its all about the prices. Who cares why they are different.
We do 6 months shopping at a time. Travel up from Dublin.
Cupboards and freezers are stuffed.
Last time picked up a HD TV and saved about €250 on that. As well as the 6 months shopping. The only things we have to buy down here are veg and milk


And yes to anyone asking about prices up the north. They are sooooo much cheaper. The new Vat rates will make hardly any difference to the savings.

DFuel prices are getting very close too. Any more tax on fuel here and you might as well go shopping just to fill up there

hellboy99

locum-motion wrote: »

I know whose arguments are more convincing to me!

I'm off to Newry

At the end of the day, if I'm going to save myself €30 and upwards weekly for the sake of a 10 - 15 minute drive I know where I'm going. I do feel sorry for local businesses that are finding times hard but myself and my family come first and the savings made pay my bills.

borderlinemeath

g32 wrote: »

You challenged me to prove it was cheaper up north - I did.

My receipt proved that, and you still argued making a fool of yourself.

Before, you also argued it was cheaper down here: you were wrong.

You have not proven that the cost of operating down here remains the exact same after these reductions. This time, I ask you to prove all that.

Back it up by scanning and uploading your retail business book and overheads for 2008 and 2009.





You have admittedly decided what constitutes a saving and what doesn't. According to you, a reduction means an increase. Lie all you can - facts do not matter. LMAO.....




No. Any business can switch to Bord Gais and save up to 10% on their electricity overheads.



If the reductions mean that operating costs are still the same, something does not add up. Either you are lying or the statistics are lying.

People who live in glass houses (greedy overpriced retailers) should not throw stones.



Yes - Wage rates have been lowered for high paid workers at the top. The minimum wage is the legal threshold, so you should not turn to someone earning EUR 8.65 an hour and tell them they are earning too much. You may take a pay cut yourself before you judge others.



Food - We are 30% higher on prices than the EU average. Food prices have started to increase in Tesco. It is cheaper to go shopping up north.



I believe the posters who argued with me were you. You did confirm your vested interests previously.

Mr Magnolia wrote: »

borderlinemeath & g32, please refrain from attacking the poster, it's doing nothing for the discussion.
If anyone has a problem with a post please use the report post function.

Apologies. My frustrations with G32s lack of understanding of running a business has led me to retaliate through my posts.
I shall refrain from insulting the poster in the future.
Where is the report button by the way?

Mr Magnolia

borderlinemeath wrote: »

Where is the report button by the way?

borderlinemeath

hellboy99 wrote: »

I'm off to Newry

At the end of the day, if I'm going to save myself €30 and upwards weekly for the sake of a 10 - 15 minute drive I know where I'm going. I do feel sorry for local businesses that are finding times hard but myself and my family come first and the savings made pay my bills.

That fine Hellboy and that's your choice.
You know the differences are there and that you can save money by shopping around. And I would say you still get your fuel in the South!

But you rightly and with good grace say you feel sorry for the local retailers as they are doing everything they can to make their businesses stay afloat.

G32s constant attack is on the retailer - and this is where I have to stand up for my profession as it's a situation that we had little to do with.
Retailers don't dictate currencies, cost prices, minimum wages, rates, rents and other associated costs but G32 is under the impression that we do.