Tesco exploits law loophole

I spotted an article today in the Daily Telegraph about how Tesco in the UK exploits some loopholes in tax law by sending it CDs and DVDs to customers in the UK, from the UK, but via Switzerland. The article is linked here.

I’ve experienced this on a number of occasions, or at least something similar. My former employer in the UK regularly will send me pension updates etc, but the envelopes are nearly postmarked Switzerland, Sweden or Finland.

My guess is that it’s cheaper for them to bulk post items by shipping the post in boxes to these countries, and then having them posted individual from there. This actually used to happen even when I still lived in London. So, you had the crazy situation where I was getting post from 15mins walk up the road routed to my house via central or northern Europe.

Obviously there were money savings in this practice. Given the recent price increases for postage using An Post, I wonder are Irish companies likely to try this same money saving measure. Assuming of course, these companies are willing to suffer the An Post service deficiencies.

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