In the Chancellor’s statement on 8th July 2020 he shared the government’s plans to temporarily change the UK VAT from 20% to 5% for certain hospitality, hotel, holiday accommodation and admissions to certain attractions to temporarily support businesses severely affected by forced closures and social distancing measures.
This cut in the VAT rate from the standard rate of 20% will have effect from 15 July 2020 to 12 January 2021.
The following supplies will benefit from the temporary 5% reduced rate of VAT:
Food and non-alcoholic beverages sold for on-premises consumption, for example, in restaurants, cafes and pubs
– Hot takeaway food and hot takeaway non-alcoholic beverages
– Sleeping accommodation in hotels or similar establishments, holiday accommodation, pitch fees for caravans and tents, and associated facilities
Admissions to the following attractions that are not already eligible for the cultural VAT exemption such as:
– Theatres
– Circuses
– Fairs
– Amusement parks
– Concerts
– Museums
– Zoos
– Cinemas
– Exhibitions
– Similar cultural events and facilities