Celebrity chefs urge VAT cut for hospitality sector

By the Editorial Team · Monday, September 14, 2026

Over 800 UK hospitality businesses and prominent chefs have petitioned Prime Minister Andy Burnham to lower the sector’s VAT rate from 20% to 10%, warning that the current tax level threatens widespread closures and job losses. The campaign highlights the economic and social importance of hospitality and seeks government action to prevent further damage to local communities and youth employment opportunities.

More than 800 hospitality businesses across the United Kingdom have collectively urged Prime Minister Andy Burnham to implement a reduced value-added tax (VAT) rate for the sector, warning that the current tax burden risks accelerating closures and job losses. The appeal comes as part of the #VATsTheProblem campaign, which highlights the vital role hospitality plays in local communities and the economy.

The letter, addressed to Burnham, who previously served as Greater Manchester mayor, emphasizes the need for a “fairer tax burden” to safeguard the future of pubs, restaurants, hotels, and leisure venues. It argues that without intervention, the sector will face growing challenges, including fewer opportunities for young people and shuttered businesses.

Signatories span a wide range of establishments, from major operators like Fuller’s, Greene King, JD Wetherspoon, Franco Manca, Pizza Express, Wagamama, Best Western, Marriott International, Center Parcs, and Parkdean Resorts, to numerous small- and medium-sized independent pubs and hotels. The letter was also backed by several well-known chefs, including Angela Hartnett, Heston Blumenthal, Andi Oliver, Clare Smyth, Jason Atherton, Nathan Outlaw, and Tom Kerridge.

In February, Burnham indicated his support for aligning the UK’s hospitality VAT rate with the average in Europe, citing the social and economic value such businesses bring to towns and communities. Currently, the UK VAT rate for hospitality stands at 20%, significantly higher than the 10% rate advocated by campaigners.

The petition linked to the campaign has garnered more than 370,000 signatures, reflecting widespread public and industry support for a lower VAT rate. The call comes in the wake of a recent government announcement to reduce business rates for pubs, clubs, and live music venues by 20% as part of a £100 million relief package, which many in the sector have deemed insufficient.

The letter states: “Without action, closures will only continue to accelerate, jobs will continue to be lost and opportunities for young people reduced. A lower rate of VAT for hospitality can turn closures into openings, lost jobs into new jobs, and boarded-up high streets into thriving centres of community.”

Chef Tom Kerridge underscored the unique challenges faced by the hospitality sector, noting that while VAT is reclaimable on products, it cannot be reclaimed on labor costs, which tend to constitute a significant portion of expenses. This, he said, makes the current 20% VAT rate particularly burdensome for businesses heavily reliant on staffing.

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