Caravan tax u-turn

There had been plans to add 20% VAT on the sale of caravans Credit: Calendar

After complaints it would harm the East Yorkshire economy and cost hundreds of jobs the Government has had a re-think over the so-called "caravan tax". The plan had been to introduce 20% VAT on the sale of static caravans. Instead, this will be reduced to 5%. It is going to be introduced in April 2013.