Pasty Anyone?

Last week saw the start of "pastygate".

George Osbourne announced in last week's budget that all food served above "ambient air temperature" should have VAT added in line with all takeaway foods.

Supermarkets have previously sold cooked chicken without applying VAT as the chicken isn't "meant to be eaten straight away". Your McDonalds fries come with 20% added on already. Simple yes? Not quite...

Take the simple sausage roll. As a northerner, I'm not ashamed to admit that a warm Greggs sausage roll hits the spot nicely. Given that they occupy a store in arrivals at Newcastle Airport, I'd be prepared to say the majority of my northern neighbours feel the same. This absurd new tax however means those fortunate to collect their bags first and get straight to the front of the queue could be paying 20% VAT on their hot from the oven pastry, yet those bringing up the rear could pocket the difference should their treat be a little on the cold side, making it VAT exempt.

Confused? You're not the only one.

The issue has now reached a temperature which is certainly above ambient with business chiefs talking of court battles to protect their custom and sales, while everyone within the House of Commons seems to be locked in a battle over who is the biggest pasty eater.

The move could raise up to £120 million for the Treasury in 2016/17. Only time will tell if the potential impact on businesses, consumer spending, and jobs is worth it.