Shoppers were still out and about in Shropshire as VAT soared to a high of 20 per cent but it was a case of “back to basics” as food and clothing took over from the hunt for bargain big ticket items.

Just over 12 hours after the official introduction of the rise of 2.5 per cent shops in Telford and Shrewsbury were experiencing a lull in contrast to the retailing rush which was under way 24 hours previously.

The combination of January sales, a Bank Holiday and the VAT rise had seen a massive rush of consumers on Monday forcing a strict “one in, one out” policy at some shopping centre car parks in the county.

Although trade was ticking over yesterday many shoppers were browsing and buying food and clothes rather than furniture or electricals although stores still offering good deals were attracting some attention.

Paul Graham, director at Trio Furnishings, in Ketley, said at a board meeting yesterday it was agreed there would be no changes to prices until further notice.

He is planning a trip to meet suppliers this month and is hoping to negotiate a deal that will help to maintain his current prices.

Mr Graham said: “I believe the right product at the right price, regardless of taxes, will always sell.”

And people were still browsing yesterday afternoon while Comet on the Forge Retail Park had posters up declaring the VAT increase had been introduced and apologising to customers for the delay in altering some tickets

A quick guide was displayed for customers which showed an item priced at £599.99 on Monday would cost £612.76 yesterday.

Also on the Forge Retail Park The Furniture Village will not change sale prices but was very quiet in terms of customers yesterday.

At Benson Beds there was a zero VAT deal on a selected number of beds and staff said they had enjoyed a bumper Bank Holiday trade.

Dreams in Telford held VAT at 17.5 per cent while Argos was not changing its prices until January 21.

Marks & Spencer said the VAT increase would be automatically applied to new products, with the prices on some existing products “being changed in stages over time” and others, such as an £8 pair of cotton leggings, likely to be frozen for the foreseeable future.

Debenhams said it would immediately pass on the increased VAT rate on “new season products”.

Sainsbury’s pledged not to increase the price of any item in its home and lifestyle ranges in January.

Tesco said it would freeze VAT on all non-food products until January 25 and would phase in price rises.

By Tracey O’Sullivan