Preparing for a VAT rate cut
Tuesday, 14 July 2020
The Chancellor has announced a temporary VAT rate of 5% which will apply to food and non-alcoholic drinks from restaurants, pubs, bars, cafés and to hot takeaway food. The measure will also apply to supplies of accommodation and admission to attractions across the UK. The reduced rate came into effect from Wednesday 15 July 2020 and will continue until 12 January 2021. We highlight some practical steps a business can take immediately to prepare.