04/06/2026
Petition link in BIO
Why VAT?
What is VAT, and why is it the problem?
VAT, or Value Added Tax, is a tax added to most things you buy in the UK. That includes your meal at a restaurant, a pint at a pub, a coffee from your local café, or a stay away in a hotel when you take a break in the UK.
The UK has a 20% rate of VAT, which is one of the highest rates for hospitality in Europe. It’s the second highest, in fact. Only Denmark is higher.
Most of our competitors have a much lower rate. In Germany, it’s as low as 7%. France, Italy and Spain have a 10% rate.
Lowering the rate of VAT for hospitality is the single most important thing the Government could do to support our local pubs, restaurants, cafes, hotels, and many more.
It would be a huge boost to the great British public, too.
What is the benefit of a 10% rate of VAT for hospitality?
The most immediate benefit is to support our pubs, restaurants, cafes, hotels, bars, nightclubs, festivals and many more.
A lower rate of VAT will reduce the cost pressures facing our sector, and it will mean more venues are able to stay open, rather than close the doors for good.
Because when hospitality businesses close, communities lose far more than places to eat and drink - they lose connection, opportunity and local identity.
And people lose jobs. 100,000 jobs have gone in the last two years alone – and many workers have seen their hours cut.
But it doesn’t have to be that way. Hospitality businesses in our cities and towns means more vibrant high streets, more jobs for local people and more choice for the consumer.
And of course – a thriving hospitality sector is also one that will be able to keep prices more affordable for the public.
See you at the bar 🍻
