Belfast Telegraph

Home News UK

Pubs reduce VAT in tax cut campaign

More than 15,000 pubs, bars and restaurants across the UK will cut the price of food and drink by 7.5% today as part of a campaign to reduce VAT.

Campaigner Jacques Borel called on the hospitality industry to make Tax Equality Day their busiest day of the year to highlight the benefit of a VAT reduction.

Prices will be reduced for one day to show the benefits to consumers of a VAT cut from 20%.

Mr Borel has achieved VAT cuts in a number of European countries, including France, Germany, Belgium and Finland.

He said: "I am confident that Tax Equality Day will be a great success and that the price reductions will be welcomed by customers.

"At present all food and drink in pubs is subject to 20% VAT, compared to supermarkets which benefit from a zero VAT rate.

"Our message is clear - a reduction in the level of VAT on a long-term basis will generate growth and create jobs in the important leisure and hospitality sector."

A Treasury spokesperson said: "We are committed to supporting the leisure and hospitality industry and have cut the tax on a typical pint of beer by one penny at Budget 2013 and by a further one penny at Budget 2014, making a pint of beer 8p cheaper than under inherited duty plans.

"We are also providing additional support to businesses in a number of ways. For example, from April 2014 businesses and charities have been able to benefit from up to £2,000 off their employer national insurance contributions bill and over £1 billion of business rates support has been provided."

Your Comments

COMMENT RULES: Comments that are judged to be defamatory, abusive or in bad taste are not acceptable and contributors who consistently fall below certain criteria will be permanently blacklisted. The moderator will not enter into debate with individual contributors and the moderator’s decision is final. It is Belfast Telegraph policy to close comments on court cases, tribunals and active legal investigations. We may also close comments on articles which are being targeted for abuse. Problems with commenting? customercare@belfasttelegraph.co.uk

Popular

From Belfast Telegraph