The organisation's national policy chairman Mike Cherry has written to the EC's directorate general for taxation and customs union on behalf of the FSB's 213,000 members in the UK outlining why the EC must act on the issue.

Cherry said that the UK's application of LVCR - a tax mechanism originally introduced to protect flower growers in the Channel Islands, which allows goods under the value of £18 to be imported into the UK without paying VAT - has created ...