David Naulls

David Naulls

October was an interesting month for us as we coped with the roller-coaster ride of the GST wall of shame.

It struck a public nerve in a way that we hadn’t expected. It’s easy to think that people have become inured to price rises – particularly for “essential” products and services. This is not so it seems.

There have been over 19,000 visits to the “Wall” so far and it also went “viral” on Facebook and Twitter.

The public sent in 345 nominations. Some of the main categories were cafes, fast food outlets, newspapers, ISPs, and Lotto. It seems that many of the nation’s cafes took the opportunity to do some belated catch-up when October 1 came round.

All consumers have been affected by these price increases – legitimately from GST or otherwise. We received this from a high school student.

“Last term our school started selling 60 cents liquorice. On Monday (the first day back at school since the GST increase) the liquorice was still 60 cents. Unfortunately, yesterday the price was raised to 70 cents. This price rise was blamed completely on the GST increase, although the GST increase should only have raised the price to 61.5 cents. … We love our red liquorice and now many of us don’t have enough spare change to buy our lunchtime treat. To us, it is a disaster.”

Of course, the cash price of the liquorice could only increase to 70 cents because that’s the smallest coin in circulation. But again it would be more honest to say this is a price increase, a small part of which is because of GST.

Because we wanted to post verifiable prices as quickly as possible – otherwise there would have been little point in doing it – we didn’t go through our usual exhaustive consultation processes with businesses. That’s why we’ve published on the “Wall” the full responses from affected businesses.

In some cases businesses decided to amend their pricing – and good on them for doing so.

The “Wall” has reminded businesses that someone was watching – that can only be a good thing.

David Naulls
Editor
Consumer magazine

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