Spaniards made a last minute dash to the shops on Friday as they looked to beat new VAT tax hikes that comes into effect this weekend.
Tax on non-basic foods will rise from 8 to 10 percent, whilst the levy on clothes and cosmetics will increase from 18 to 21 percent.
Carmen, a 20-year-old shopper in Madrid, said she wanted to take advantage of saving a few cents because everyone is going to feel the rise in prices.
Juan, a 35-year-old mathematician, said he would not be bulking buying food just to save a few euros.
“Food doesn’t stay fresh for such a long time,” he said.
Motoring is also set to get more expensive in Spain, with tax on petrol going up from 18 to 21 percent.
The hikes are part of the government’s strategy to boost state revenues.
Madrid wants to cut its public deficit to 6.3 percent by the end of this year. It stood at 8.9 percent in 2011
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