Published 3 February 2025
Buckie Got It
St. Kitts and Nevis News Source
Government Confirms Ongoing Market Surveillance on VAT Reduction, Urges Retailers to Pass on Savings to Consumers
Basseterre, St. Kitts (February 3, 2025) – The Government of Saint Kitts and Nevis, through the Consumer Affairs Department, continues its market surveillance efforts to ensure that the benefits of the recent Value Added Tax (VAT) reduction are passed on to consumers. The reduction in VAT from 17 to 13 percent, which took effect on January 01, 2025, was designed to ease financial burdens and enhance affordability for households across the Federation.
A preliminary market assessment conducted by the Consumer Affairs Department has shown encouraging results, with several retailers reflecting reduced prices across various product categories. The findings indicate that prices of standing and ceiling fans have seen an average reduction of 3.5 percent, while air conditioners have decreased by approximately 3.4 percent. Additionally, steel bars, a key construction material, have seen an average price drop of 14 percent.
The Consumer Affairs Department has noted that while several major retailers have adjusted their pricing structures to reflect the lower VAT rate, the Department will continue its routine monitoring to ensure that savings are being fully transferred to consumers.
Prime Minister The Honourable Dr Terrance Drew reaffirmed his St. Kitts-Nevis Labour Party Administration’s commitment to consumer protection and expressed appreciation to businesses that have been proactive in adjusting their prices.
“This VAT reduction was implemented with the people of Saint Kitts and Nevis in mind—to make everyday goods more affordable and ease the cost of living. I commend the retailers who have already passed these savings on to their customers, and I encourage all businesses to follow suit. Together, we can ensure that the benefits of this policy reach every household in our Federation,” he stated.
The government remains steadfast in its commitment to economic policies that support affordability and consumer rights. The Consumer Affairs Department will continue its market surveillance efforts and urges consumers to remain vigilant, report discrepancies, and support businesses that uphold fair pricing practices.
For further information, consumers are encouraged to contact the Consumer Affairs Department via phone at +1 (869) 467-1550; email at [email protected]; and website: miticca.gov.kn.
