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Sweden cuts food VAT to 6% in temporary government move

Economy & businessEconomy
Sweden cuts food VAT to 6% in temporary government move
Key Points
  • Swedish government cuts food VAT from 12% to 6% temporarily.
  • Reduction is noticeable in Hemavan with increased Norwegian shopping.
  • VAT change applies to takeaway food and lasts until end of 2027.

The Swedish government has decided to temporarily reduce the VAT on food from 12% to 6%. The change is already noticeable in Hemavan, where Norwegians are shopping extra ahead of Easter, with items like meat and candy becoming much cheaper. Nils Vikberg, manager of one of the stores in Hemavan, says tourism and Norwegians who visit for the day account for 75% of their turnover, and cross-border trade is growing.

The VAT reduction also applies to takeaway food and is temporary until the end of December 2027.

tourism and Norwegians who visit for the day account for 75% of their turnover, and cross-border trade is growing

Nils Vikberg, manager of one of the stores in Hemavan

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