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Cold pasties not selling like hot cakes

Baker says they'll return to hot pasties after a drop in sales Credit: ITV Westcountry

Warrens bakery are returning to using warming cabinets after a fall in sales. The bakers stopped keeping their savouries warm after the government introduced a twenty per cent VAT charge in May.

A spokesperson for the company, which has 58 shops in the south west, said selling cold pasties had damaged business.

Confusion on the first day of the 'pasty tax'

Pasty shops around the south west have been digesting the first day of new tax arrangements on some of their food.

The original proposal led to widespread protests, as the so-called 'pasty tax' on hot pies threatened to embarrass the Government.

But the Chancellor backed down, and now only food which has been reheated is subject to VAT.

Some in the industry say the new arrangements are confusing for both pasty sellers and consumers.

Our Cornwall Correspondent Steve Hardy has been to one pasty shop to assess reaction to the new tax:

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Pasty-maker is relieved at Government u-turn

Ann Muller of Ann's Pasties on the Lizard will not have to pay the VAT. She says, "My pasties are freshly baked, I don't keep anything in a hot cabinet. So the pasties are either hot or warm or cold. It was going to be really difficult to put this tax on without it seeming ridiculous".

Ann Muller is welcoming the Pasty Tax u-turn Credit: ITV Westcountry

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