News article

Temporary VAT Rate Reduction (Hospitality and Tourism)

As announced on Wednesday 8th July 2020, Chancellor Rishi Sunak and the UK Government are temporarily reducing the VAT rate on non-alcoholic goods and services in the Hospitality and Tourism sectors from 20% to 5%, with effect from Wednesday 15th July. Any businesses operating in these sectors will need to consider their charging practises, to ensure that they are accounting for their sales at the correct rates.

As there is not an awful lot of time before this should be implemented, Matthews Hanton encourage all businesses in those sectors to consider their systems and speak to their advisors to ensure that the correct measures are taken.