Guernsey business impact due to end of LVCR 'not clear'
- 4 April 2012
- From the section Guernsey
The impact on Guernsey's mail order industry of the end of LVCR will not be clear for several months, the Commerce and Employment minister has said.
Low Value Consignment Relief did allow goods valued under £15 to be sent to the UK VAT free, but ended on 1 April.
Deputy Carla McNulty Bauer said businesses were weighing up the pros and cons of operating from the island.
She said: "The incentives of actually remaining here on the island are considerably reduced."
Deputy McNulty Bauer said: "Quite a few of those businesses are looking internally at their business models and seeing if there are ways in which they can diversify their products or look at their costings to see if they can still continue.
"We do have to recognise that operating in the Channel Islands is expensive, it is a higher cost place to do business."
She said those that remained had to be sure their business was viable and sustainable.