Lagos council entered the New Year fighting. Its municipal assembly passed three pivotal motions honing in on restaurants’ crippling IVA (VAT) rates as well as the parlous state of roadworks on the death-trap EN125.
In the motion on restaurants, the council “demands” a drop in the “exorbitant” 23% VAT rating and a return to the 13% previously levied, stating: “The restaurant sector of our municipality is in a grave economic crisis as a result of the financial situation this country was led into, which was even more stressed by the government increasing the VAT tax to 23% in 2012.”
Unemployment has leapt and the industry has shrunk as a result of the hike, says the council – and the consequences are beginning to show in the municipality’s economy, with “dramatic effects” for many families.
Similarly, two motions were also approved by all parties on the assembly calling for explanations regarding the complete standstill of renovation work to the EN125 since March 2012.
The assembly added that the poor conditions of the road, “still very far from conclusion”, as well as the implementation of the toll system on the A22 highway, which increased traffic on the EN125, are “seriously compromising the regional economy and especially tourism – the region’s main income provider – as well as leading to a higher mortality rate.”
Pulling no punches, Lagos called for the support and participation of other regional municipalities and assemblies to help get the government, once and for all, to listen to the Algarve.
