Information checked 30 August 2026.

The #VATsTheProblem campaign is calling for the UK Government to introduce a permanent 10% VAT rate for hospitality. It brings together hospitality businesses, trade bodies and supporters who argue that a lower rate would help protect jobs, independent venues, high streets and local supply chains.

The current position

An official UK Parliament petition supporting a 10% hospitality VAT rate remains open until 12 September 2026. The Government responded on 19 June 2026: it recognised hospitality's contribution but did not support the requested permanent reduction, citing an estimated annual cost of around £11 billion.

This is separate from the temporary 5% VAT measure for specified children's meals, children's tickets and eligible family attractions, which applies from 25 June to 1 September 2026 inclusive. That limited summer measure is not a general 10% hospitality rate.

Follow the evidence

Read the campaign's case for change, the official petition and the current HMRC guidance before sharing figures or making business decisions. BBT will review this article when the Parliamentary petition closes.

This article reports an industry campaign and official responses; it is not tax advice. Businesses should check their own position with HMRC or a qualified adviser.