Kevin Reed, Accountancy Age, Friday 25 June 2010 at 10:15:00

DSG International chief John Browett unconcerned about the VAT rise's impact on the Currys and PC World group

The VAT rise will not adversely impact the electrical retail sector, said DSG International chief executive John Browett.

Browett, boss of the Currys and PC World businesses, said that price deflation on technology products would offset the impact of the January 2011 VAT rise.

Talking to BBC Radio, Browett praised the government for its decisive action in fixing the economy.

"From our perspective, it's great to see that in the long-run the government is going to take firm action. That's got to be good for all of us in the end," said Browett.

Announcing pre-tax profits of 112.7m for 2009/2010, DSG also announced it was bringing back the Dixons name. The group will be called Dixons Retail PLC, as sentiment and knowledge of the Dixons brand is still high among its foreign suppliers.

Further reading:

Preston North End tackled by taxman

Action group calls for clarity on VAT rules for the disabled

Success of bank levy scheme hangs on G20