Cut VAT to 5% for hospitality industry
Article date: 24 Aug 2011
The Publican's Morning Advertiser is calling for the Government to reduce VAT to 5% for the hospitality sector.
Responsible department: Her Majesty's Treasury
The Publican's Morning Advertiser is calling for the Government to reduce VAT to 5% for the hospitality sector.
21 countries in the EU have a lower VAT rate for the hotel sector and 13 for the overall hospitality sector.
In France, tax was reduced from 19.65% to 5% and led to the creation of 21,700 jobs in the first year.
A cut in VAT could help create 320,000 jobs in the post Olympic years and help save pubs, restaurants and hotels.