Olly Glover MP is urging the Labour Government to back Britain's small businesses, save our high street and cut VAT on our hospitality.
We know that this government should be doing more to back small businesses. British pubs, restaurants, and venues are being strangled and are being pushed to breaking point. An immediate VAT cut for this sector wouldn't just benefit countless hospitality businesses; the increased footfall on our high streets and the knock-on effects would provide a much-needed uplift across the economy.
Olly Glover MP says that “crucial high street businesses are on their last legs and that this change to business rates is the final and only chance for the Government to help save our valued local businesses.”
Sign our petition below to call on Labour to support small businesses:
Save our hospitality sector
I support the Lib Dem call for an emergency cut to VAT for the hospitality sector to boost high streets and cut costs for local families.
The Liberal Democrats are calling for a 5% VAT cut for pubs, restaurants and other hospitality and entertainment businesses. As part of a bold £12bn plan to tackle the cost of living which means that going out has become an “unaffordable luxury”.
The Liberal Democrat proposals would immediately cut VAT from 20% to 15% for hospitality, accommodation, and attractions, boosting struggling high streets and slashing prices for hard-pressed families.
This would form part of a two-pronged “cost of living and cost of doing business rescue plan,” with the party also calling on the Chancellor to reduce household energy bills by removing the current “renewables obligation” levy. This combined support package, in place until April 2027, would save a typical family around £270 over the next eighteen months.
The proposals would be funded by a new windfall tax on big banks, originally proposed by the IPPR think tank, which could raise around £30bn in total between now and 2030. Less than half of this revenue would be needed to cover the cost of the VAT cut and that of replacing the current renewables obligation levy, which would cost around £7.5bn and £4.5bn respectively over the next eighteen months.
The Liberal Democrat plans would also boost footfall in Britain’s pubs, restaurants and entertainment venues, tackling the double whammy of higher taxes and lower spending currently hammering UK food and drink venues. Recent research by More in Common has shown that nearly two in three Brits (59%) think meals out at restaurants are unaffordable for most people. Over half (51%) said nights out at the pub are out of financial reach for the average person, while 45% said the same about a trip to the cinema.
Local MP Olly Glover said, “This is the last chance saloon for our hospitality sector. From the cruel jobs tax to high energy bills, so many small businesses in my constituency are on their last legs and need support. These businesses are naturally worried sick. The Government must respond by U-turning today and announcing support for all hospitality businesses, including a VAT cut to boost our high streets."
