One of the biggest brewery chains in the Westcountry is citing a 10% uplift in food and drink sales as proof of the benefit of a VAT reduction for the hospitality industry. St Austell Brewery reduced prices at its 25 managed pubs, as well as 19 tenanted businesses on Wednesday, along with countless others in the region as part of Tax Parity Day.
The hospitality sector used the day to call on Government to reduce the 20% VAT payable on food and drink sales to 5%.
James Staughton, Managing Director of St Austell Brewery, said: “This is a significant issue for the South Westl, which is so reliant on tourism and hospitality. A cut in VAT for the industry can bring more people into pubs and therefore generate economic activity and ultimately create jobs.”