Food prices and the euro

Sir,

It is disingenuous for those in authority to say food prices won’t increase next January when Cyprus enters the little-loved euro zone.

Have they quietly forgotten that the Cyprus government is slapping VAT on food from January 1, 2008? As for the public, most I’ve spoken to in recent days in Limassol claimed they’d no idea such a tax was being introduced on food. One pensioner quipped “I’ll just have to smoke more cigarettes!”

VAT on food cannot, thankfully,  be one of those “selective taxes” – it must be paid by all, Cypriot and non-Cypriot, which will be some crumb of comfort to the expat community who know about the two-tier pricing system operated by many businesses in on the Island of Aphrodite.

John Thorpe, MBE
Limassol and Leeds.