Chancellor Must Slash VAT to Rescue Hospitality Sector

Chancellor Must Slash VAT to Rescue Hospitality Sector

The Night‑Time Economy is on the brink – it needs your help now!

It’s no secret that the night‑time economy is the powerhouse behind countless pubs, clubs, theatres and late‑night cafés that keep the UK buzzing after dark. But today, that buzzing is turning into a fight for survival. The crunch is real, and the only way out is a big, inclusive VAT cut from the government.

Why a VAT cut? Because we can’t let them go bankrupt!

  • No more being left out: Last time the government dropped VAT on wet‑lead businesses, many folks were left on the wrong side of the track. That’s not fair, and it left a dent in the sector.
  • Everything should be covered: The cut needs to include tickets, food, soft drinks and yes, even the legal drinking – because who wants the industry to be a “dry” zone?
  • Responsible limbers win: Lowering VAT on alcohol doesn’t mean anybody will sell it recklessly. On the contrary, our businesses run by very stringent rules – they’re already good stewards of responsibility.

The crunch that’s grinding the night‑time economy to halt

High debt, soaring operating costs and the void of previous VAT cuts that left many businesses marginalised are all piling up. If the government keeps the same policy loop, we’re only going to magnify the problem, not wash it away. A holistic, all‑encompassing fiscal shake‑up is the only way forward.

Hear the voices that have been huddling at the table

Michael Kill, CEO of NTIA, has spent the last fortnight chatting with owners & managers, getting the raw truth from them.

“I can’t even begin to explain what it feels like to see my friends and fellow entrepreneurs losing their shops, people shedding life savings, families in distress, and mental health breaking points. The industry isn’t blooming – it’s barely surviving.”

He added, “Every day we’re staking our lives on what the government says which could swing thousands of people’s financial stability. The government must set out a clear, honest roadmap that considers all owners and employees walking into an uncertain future.”

What the economy needs and the stakes if it’s not fixed

  • Jobs that bring the city alive at night.
  • Creativity that drives cultural and artistic spaces.
  • A social venue where people reconnect and celebrate life.

Without swift governmental action, we risk turning an entire vibrant sector into emptiness, jobs vanish, and the “night‑life” magic fades for good. A well‑sized VAT cut that touches tickets, food, drink and more is the lifeline we must launch now.

Our plea to the government

We urgently ask you to grant a GDP‑adjusted, inclusive VAT cut. Keep the rules tight but generous. Only the way to get the night‑time economy from the brink to a hopeful future.

If you feel stuck in the dark, let’s act on this live, give a voice to the night economy, and help keep the party going!