Wetherspoons said pub food prices would have to be raised by around 40p per meal if it didn't cut VAT for the hospitality industry.Taxes were lowered on food sold in pubs from 20% to 5% during the pandemic to help struggling businesses.slotxo
But it is expected to return to normal levels periodically next year. This will increase to 12.5% in September 2021.The chain, which has 860 pubs, said it "will make the entire hospitality industry less competitive.TheBChas contacted the Ministry of Finance for comment.It is a core principle of taxation that taxes should be fair and equitable,
Wetherspoons said, adding that prices would rise in September. Undoubtedly one aspect of the unfairness that has caused economic distortions is related to VAT. Supermarkets pay zero VAT on food. But pubs and restaurants pay 20% under normal circumstances.