In his summer economic statement the Chancellor of the Exchequer, Rishi Sunak announced further support in a bid to push the UK into recovery from the coronavirus outbreak
Setting out his Plan for Jobs the Chancellor acknowledged that tourism has been one of the worst affected sectors.
A summary of the key points for our sector is below
- From 15 July 2020 to 12 January 2021, to support businesses and jobs, the reduced (5%) rate of VAT will apply to supplies of accommodation and admission to attractions across the UK.
- From 15 July 2020 to 12 January 2021, to support businesses and jobs in the hospitality sector, the reduced (5%) rate of VAT will apply to supplies of food and non-alcoholic drinks from restaurants, pubs, bars, cafés and similar premises across the UK.
- The government will introduce the Eat Out to Help Out scheme to encourage people to return to eating out. This will entitle every diner to a 50% discount of up to £10 per head on their meal, at any participating restaurant, café, pub or other eligible food service establishment.
Further guidance is expected shortly
Correct as of 9 July 2020