A coalition of Britain's leading chefs has written to the Chancellor demanding an emergency VAT reduction to 10% for pubs, restaurants, and cafes. The plea, backed by names such as Michel Roux Jr and Tom Kerridge, warns that without immediate relief, thousands of hospitality businesses will collapse this winter. The Treasury is said to be considering the request amid mounting evidence of sector distress: rising energy costs, supply chain inflation, and a fragile post-pandemic recovery.
Hospitality sector leaders argue the current 20% VAT rate is unsustainable when margins are being squeezed by soaring rents and staffing costs. Trade body UKHospitality estimates that a temporary cut could save 1 in 5 businesses from closure. The chefs' intervention comes as official figures show hospitality output still 12% below pre-COVID levels.
A Treasury spokesperson said: 'We are committed to supporting businesses but must balance the public finances.' The demand echoes the successful 'Eat Out to Help Out' scheme which saw VAT slashed to 5% in 2020. Critics warn that any VAT cut would cost the Exchequer billions, money that could otherwise fund public services.
However, the chefs counter that the wider economic cost of mass closures would be far higher. The letter also calls for a freeze on business rates and a cap on energy prices for commercial kitchens. Independent pub operators have reported that some energy contracts have risen by 300% in the past year.
The campaign has attracted cross-party support, with MPs from red wall seats warning of 'ghost towns' if hospitality is allowed to wither. The Chancellor is expected to respond within the fortnight ahead of the autumn statement.
