Venstre and Moderaterne in public argument

Disagreement in the government over VAT persists publicly

The ongoing disagreement in the government over the reduction of VAT on food products continues in the public eye.

Moderates take up Venstre's latest statement in a new article in Jyllands-Posten and declare themselves deeply opposed.

This is in response to an article in the same newspaper by Venstre's second-in-command, Stephanie Lose, who argues for reducing VAT on all food products.

Moderates, however, want something different and only want to reduce VAT on fruit and vegetables.

- We believe that the VAT tool should be used more precisely and sensibly to promote public health. Therefore, we propose zero VAT on fruit and vegetables, it reads in the new article.

The article was written by Culture Minister Jakob Engel-Schmidt (M), who has allied himself with supermarket Lidl and Cancer Society, who are also authors of the article.

The parties argue for considering public health in the use of the VAT tool.

- Zero VAT on fruit and vegetables is a solution that can be felt quickly, and fits into a sustainable design of the VAT system, where health is considered from the beginning, they write.

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The government does not know what it wants

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Prices for food products have risen significantly over a broad spectrum in recent years.

This has led parties from both sides of the Folketing to demand a lower VAT on food products, which the government has initiated negotiations on.

The concrete design of the measures is still unresolved, and the government has not yet taken a firm position.

In Moderates' new article, they highlight a weakness in Venstre's proposal for a general reduction of VAT on all food products: It will not make a significant impact.

The claim is based on calculations that Jyllands-Posten has had made in a series of articles.

They show that if VAT is reduced from 25 to 20 percent, 400 grams of chopped beef will fall by 13 øre in price, and a liter of light milk will become three øre cheaper.

- The savings can be counted in øre. If we choose fruit and vegetables as the target for VAT reduction, we are suddenly talking in kroner, write Moderates, Cancer Society, and Lidl in their article.

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