HMV who set up HMV.com in Guernsey in 2005 and since then have consistently undercut their own stores by charging low VAT free prices on HMV.com, have announced that they are closing one of their flagship London Stores on Oxford Street, a landmark in UK music retail. Frankly as the only Channel Island VAT free online retailer with VAT paying shops around their necks RAVAS are surprised they have lasted this long. We’d be very surprised if more shops did not close. In the meantime HMV continue to undercut all remaining mainland music retail including their own shops. We understand that one of the most frequently asked questions of HMV Store managers has been why is the shop more expensive than the HMV internet site? Apparently customers are paying more for the ‘retail experience’. Nothing to do with avoiding VAT then ?