Hospitality industry urges Andy Burnham to lay out VAT cut plans

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Hospitality industry urges Andy Burnham to lay out VAT cut plans

The Guardian · 1 hour ago

More than 800 UK hospitality businesses, backed by celebrity chefs including Angela Hartnett, Heston Blumenthal and Tom Kerridge, have written to Prime Minister Andy Burnham urging him to set out concrete plans for a VAT cut for the sector. The letter, part of the #VATsTheProblem campaign, warns that without a fairer tax burden, hospitality businesses will face further closures, job losses and reduced opportunities for young people, putting pressure on Burnham to honour a pledge he made in February when he was mayor of Greater Manchester.

Signatories include major chains such as Fuller's, Greene King, Wetherspoons, Pizza Express, Wagamama and Marriott, alongside hundreds of small independent pubs and hotels, plus chefs including Tom Kerridge and Clare Smyth. The campaign's petition, calling for a 10% VAT rate for hospitality in line with the European average, has gathered more than 370,000 signatures, and comes after Burnham's earlier move to cut business rates by 20% for pubs, clubs and venues as part of a £100m aid package. The letter coincides with a government review of the 2016 pubs code, which found fewer than 400 tenants applied for "free of tie" agreements between 2022 and 2025 due to cost and complexity, prompting proposals for fairer lease terms for pub tenants.

  • Over 800 hospitality firms demand Burnham deliver promised VAT cut
  • Campaign wants 10% VAT rate, matching European average
  • Comes alongside pubs code review to improve tenant lease terms

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