Pubs And Bars Slash Prices In VAT Cut Campaign

Written By Unknown on Kamis, 25 September 2014 | 00.11

Thousands of pubs, bars and restaurants will slash their prices today as part of a campaign to cut VAT.

Tax Equality Day - which will see 15,000 establishments reduce the price of food and drink by 7.5%, has been launched to show the benefits of cutting VAT.

Jacques Borel, the man behind the campaign, has managed to get VAT cuts in a number of European countries, including France, Germany, Belgium and Finland.

"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," he said.

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

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 £1bn of business rates support has been provided."


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