mikeysaling wrote:
Any thoughts on Camera prices (Nikon canon) if Britain leaves the EU ? Right now we must pay the highest prices anywhere in Europe or the US.
Cross border buying may be higher and more difficult. With the current setup vat is paid in the country of origin so if I buy from spain the price I pay is the price I would pay in spain plus shipping.
Buying outside of the EU for me say australia which has a 10% vat price means x at say 100 dollars cost 110 in australia + shipping lets say 20 dollars so thats 130 but then faces another 20% on top when entering the EU on product and shipping so thats another 26 dollars + a tax collection fee of 5 - 15 dollars so basically it's going to cost 160 dollars.
Doing the same from spain which has vat of 21% so if X costs 100 + tax = 121 + 20 for shipping = 141 but now add 28.50 for UK VAT 169.50 + Vat collection charge making a final price of 175 - 185.
so
australia 160
spain in eu 141
spain outside eu 175
So buying from an EU country now v then can put 25% on the price maybe.
Britain not being part of the Euro costs me money now as my bank charges me for dealing with sterling but doesnt when buying in euro's about 1% and if i use paypal or amazon the currency fee's are about 4%. If Britain leaves the EU then I can expect to be paying 20% more (at least) than currently.
So for me in Ireland it's currently a small difference in favour of buying from a eurozone country rather than the UK but will become a much larger difference with a Brexit something like 20-25% difference in price.
Advantage Germany , Spain, France ect when it comes to selling me something.
For a UK resident, they will find that europe has just gone up in price about the same but american and australian prices are now more competitive with european prices.
So it's going to be more expensive for me to deal with UK Sellers and more expensive for UK buyers to deal with the rest of Europe.
So it's probably going to be bad for UK exports to the EU and bad for UK imports from the EU.
For me in Ireland, i'm likely to buy from the UK less and more from other EU countries.
I guess for official importers and exporters there will be arrangements put in place so Vat isn't charged on both sides of the border but for individuals its going to become not worth the bother.