Wetherspoons, Subway and Pizza Hut in Bury St Edmunds are among firms who will be taking part in a tax parity day on Wednesday, cutting their prices to highlight the higher levels of VAT charged on the hospitality sector, compared to supermarkets.
Pub chain Wetherspoons said it will cut the price of food and drink to show the benefits that a VAT reduction to five per cent, would have on the hospitality trade.
A Wetherspoons spokesman said at the moment food and drink in pubs is subject to 20 per cent VAT, compared to supermarkets which benefit from a zero VAT rate.
Craig Uttley, manager of Wetherspoons in Bury, said: “We are proud to support the campaign to reduce the level of VAT within the pub industry.
“Customers coming to the pub on Wednesday will fine the price of drink and food is lower than normal.
“We are keen to highlight the amount customers would save it VAT in pubs was lowered. So for example, the total price of a meal and drinks for a customer at The Corn Exchange would be reduced from £10 to £9.25 on tax parity day.”
Wetherspoons chairman Tim Martin said: “A reduction in the level of VAT on a long term basis will generate growth and create jobs in the important leisure and hospitality sector.”