nlmkiii
Senior Member
Almost everything has VAT added though, this isn't exclusive to bikes. And bikes have had VAT added since forever ago, so it hasn't moved the bar at all, it's just always been there.Good morinng,
I looked at a Claris/Sora Diverge around the time the Secteur was discontinued and couldn't really understand what I would have been getting for the money.
A while back VAT wasn't too much of an issue on many bikes in absolute terms, but the £2,400 Diverge obviously has £400 going straight to the government in VAT, ouch that's a lot.
Wiggle has the 105 groupset at £479-£499 (including VAT), so on this Diverge the VAT is the same as the retail price for a 105 groupset as a standalone purchase, who knows what Specialized pay for it.
So apart from dealer mark-up it seems likely that VAT is the most expensive part of the bike.
I was looking at this recently https://worcestercyclecentre.com/product/trek-domane-e-bike/ an ex-demo Trek Domane ALR e-bike, at £3.3k it has £550 of VAT. The Trek page is at https://www.trekbikes.com/gb/en_GB/...d-bikes/domane/domane-alr/domane-alr/p/33322/ where the RRP is £3.9k or (£650 VAT)
Given where e-bikes are going price wise, VAT may be a real take up inhibitor, even Ribble's cheapest ebike seems to be around £2.7k (£450 VAT) if you want one with a reasonable delivery date. Their cheapest has a Jan 2023 delivery date.
Bye
Ian
I think there is *some* argument to removing VAT from bikes, but to be honest the bikes we are talking about are luxury purchases and so definitely should be subject to VAT. Maybe the first £1000 of a bike should be VAT free (or £2000 for e-bikes) to allow for cheaper access to more people, but I can't see a good argument for removing VAT from a £10000 luxury purchase.