Originally Posted by
JessicaB
In fairness, BA is only doing the reverse of what most large American companies do. Apple for example generally charges exactly the same amount in £'s for its products as it does in US dollars, so a $1000 dollar phone rocks up as £1000 for the UK market.
I think you'll find that the difference is VAT. £1,000 includes 20% VAT and $1,000 does not include local sales tax. So the ex-VAT £ price of £833 = $940, and Apple is actually taking less on the £ sale.