Chancellor announces VAT cut and discount scheme for hospitality sector

Cut to 5% for six months

James Baxter-Derrington
clock • 1 min read

Chancellor of the Exchequer Rishi Sunak has announced VAT is to be cut to 5% for the hospitality sector, along with an “eat out to help out” discount at restaurants in his summer economic update.

The hospitality sector, including food (and non-alcoholic drinks), accommodation and attractions, will see VAT cut from 20% to 5% from 15 July 2020 until 12 January 2021, which will provide a "£4bn catalyst", according to Sunak. Sunak unveils employer return-to-work furlough bonus Further to this, Sunak announced an "eat out to help out" discount for the month of August, which will enable "participating businesses" to offer a 50% discount to customers who eat out at restaurants. The discount will only be available from Monday to Wednesday throughout August, up to a maximum of £10 p...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on UK

UK adds 20,000 jobs in February as unemployment rate remains steady
UK

UK adds 20,000 jobs in February as unemployment rate remains steady

ONS data

Cristian Angeloni
clock 12 March 2024 • 3 min read
Friday Briefing: All things to all people
UK

Friday Briefing: All things to all people

Friday Briefing

James Baxter-Derrington
clock 11 March 2024 • 2 min read
Refinitiv Lipper's Dewi John: Have equity investors been right to rotate from active to passive?
UK

Refinitiv Lipper's Dewi John: Have equity investors been right to rotate from active to passive?

Active managers underperformed during peak volatility

Dewi John
clock 07 March 2024 • 4 min read
Trustpilot