Top UK chefs call for 10% VAT cut for pubs and restaurants
Summary
Four well-known UK chefs and restaurant owners asked the government to lower the value added tax (VAT) on pubs and restaurants from 20% to 10%. They said the hospitality industry is struggling with high costs and fewer customers, making it very hard to keep businesses open. A government minister said tax cut requests are common but must be balanced against public spending needs.Key Facts
- Chefs Tom Kerridge, Yotam Ottolenghi, Ravneet Gill, and Simon Rogan want VAT on pubs and restaurants cut to 10%.
- The current UK VAT rate for hospitality is 20%, which is the second highest in Europe.
- Countries like Germany, Ireland, France, Italy, and Spain have VAT rates near or below 10% for hospitality.
- The hospitality industry faces high costs from energy prices, wages, and taxes like National Insurance and business rates.
- Since 2026, three hospitality businesses have closed every day in the UK.
- Government support during Covid, like the "Eat Out to Help Out" scheme, helped temporarily but didn’t solve long-term issues.
- Chefs say lowering VAT would help businesses survive and allow them to invest and keep staff.
- A government minister said tax cuts must be weighed against other demands on public money.
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