VAT ends ... but Kindle ebooks go up in price

The tax was removed in an attempt to boost sales, but readers are now paying more for many Amazon titles
Amazon claims that decisions on ebook prices are made by publishers
Amazon claims that decisions on ebook prices are made by publishers
PA

When the government abolished a “reading tax” on ebooks earlier this year, Amazon hailed the move as an important step towards making reading more accessible to a greater number of people.

There is little evidence, though, that its customers are saving money. As part of its economic response to the pandemic, the Treasury fast-tracked plans to remove VAT charged at 20% on ebooks, introducing the tax cut on May 1.

But the average price of the 100 bestselling Amazon Kindle books on April 30 has actually risen, from £2.30 to £3.06, or 33%. Of the 100 titles, 45 titles have increased in price and 33 have stayed the same. Just 22 have dropped.

The price of Blue Moon, last year’s instalment in the successful