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snottyotter
If you make all essentials VAT free you give a non means tested benefit to everyone (so this is more expensive); if you leave VAT on some essentials then update benefits, it's more targeted.
I'm not saying benefits are enough as it is; I'm saying that if we're designing a system then I think it's simpler to make the VAT flatter and then uprate benefits to help people, rather than cut the tax and have less cash in the treasury overall.
I'm not really sure I know what you mean by the second half of your sentence though so sorry if I've misunderstood