"Why should I pay 20% vat on a book when I can have a physical thing vat free that I can read, give to friends, sell on to anyone?"
Well, for a start you'll probably pay a lot less for the digital version.
I'm currently reading a book about Churchill. The Kindle version costs £3.99 inclusive of VAT. The paperback edition is £6.99.
The book currently at number one in the Kindle 'top 100' list costs 99p inclusive of VAT. The paperback is £5:39.
Of course, I can't lend Kindle books to my friends without lending them the Kindle too, and I certainly can't sell digital books, but frankly at those prices I couldn't care less - I've bought around 40 Kindle books this year, and saved a pretty tidy sum over the cost of paper versions.
I bought a refurbed 3G kindle a couple of months back after much deliberation. There was a lot of talk a bout a Kindle tablet and I'd been waiting for that, then I decided it would be about £300 so wouldn't bother.
Now they've launched this new Kindle 4 @ £89, and the tablet when it arrives next year will most likely be less than £200, so should I have waited?
Probably not to be honest, as I've had much use out of the Kindle, and it's now got almost 100 books on it.
Don't worry about the lack of keyboard, I've only used mine a few times - for inputting the password for my Wi-Fi at home & work, and naming folders to file the books.
The keyboard kindles only contain letters, so I still have to use the onscreen virtual keyboard for numbers and symbols