Steven Gilbert
Media playback is unsupported on your device
Video

MP's joy over 'pasty tax U-turn'

The government is to drop plans to impose VAT on Cornish pasties as announced in the budget, the BBC understands.

Liberal Democrat MP Steven Gilbert, an outspoken opponent of the 'pasty tax', said that there would be "dancing in the streets" following the change of heart.

Ministers have also reduced a 20% charge due to be levied on static caravans to 5%, following large-scale protest by bakers and caravanning enthusiasts.

  • 28 May 2012
  • From the section UK
Go to next video: Paxman gets to grips with pasty row