Leading European publishers have united in requesting Prime Minister Petr Fiala to reconsider the government’s proposal to raise the value-added tax (VAT) rate for newspaper sales from ten percent to 21 percent as part of fiscal consolidation efforts. The European Publishers Council has highlighted that this tax hike would result in higher newspaper prices, potentially reducing affordability and creating an environment that fosters the spread of misinformation.

Angela Mills Wade, the executive director of the European Publishers Council, emphasized the negative consequences such a move would have on newspaper publishers, readers, and society as a whole. The proposed tax increase would inevitably lead to further price hikes, declining newspaper sales, and limited access to reliable, trustworthy, and professionally curated information. This, in turn, would create an environment where misinformation can easily proliferate.

Comprising chairpersons and CEOs of prominent European media houses engaged in multimedia content creation within the EU, the European Publishers Council is a respected industry association that represents the interests of top executives in the publishing sector.

In addition to the European Publishers Council, the World Association of News Publishers (WAN-IFRA), the European Newspaper Publishers’ Association, and the European Magazine Publishers’ Association have also urged the government to reconsider the proposed VAT increase on newspapers.

These industry associations have raised concerns about the potential negative repercussions of such a tax policy change. They emphasize the importance of maintaining the affordability and accessibility of newspapers as reliable sources of information while acknowledging the government’s fiscal goals.

The response to this request and any potential reconsideration of the VAT rate for newspaper sales will have significant implications for the publishing industry, readers, and the broader media landscape across Europe. It remains to be seen how the government will address these concerns and strike a balance between fiscal objectives and the importance of accessible and reliable journalism.

Article by Prague Forum