Four leading British chefs are calling for the government to reduce the value-added tax on pubs, restaurants, and cafes from 20% [1] to 10% [2].

The proposal aims to mitigate a deepening hospitality crisis driven by rising operational costs and a slump following the pandemic. Because these businesses operate on thin margins, a tax reduction is viewed as a critical lifeline to prevent widespread closures across the United Kingdom.

Chefs Tom Kerridge, Yotam Ottolenghi, Ravneet Gill, and Simon Rogan made the appeal during an interview with BBC Newsnight in May 2024 [1]. They said that the current tax burden is unsustainable for the sector given the economic pressures facing small and medium-sized enterprises.

"We need the VAT cut to 10% — it’s the only way to keep pubs and restaurants afloat," Kerridge said [1].

The chefs highlighted that the hospitality industry remains vulnerable as it attempts to recover from previous lockdowns while facing inflation. They said that a lower tax rate would allow businesses to maintain staffing levels and keep prices competitive for consumers.

Ottolenghi said that a 10% VAT rate would give the sector the breathing space it desperately needs [1]. The group emphasized that the measure is not merely a request for profit increase, but a necessity for survival.

Gill said that the lack of government intervention could lead to permanent losses for the industry. "If the government doesn’t act now, many of our beloved cafés will close for good," Gill said [1].

The call for a reduction from the standard 20% [1] to a halved rate of 10% [2] reflects a broader push from industry leaders to secure systemic support rather than temporary grants. The chefs urged policymakers to recognize the cultural and economic value of the UK's dining and pub culture.

“"We need the VAT cut to 10% — it’s the only way to keep pubs and restaurants afloat."”

This appeal highlights the ongoing fragility of the UK hospitality sector as it struggles with the long-term effects of the pandemic and inflation. By targeting VAT, the chefs are seeking a structural change in how the government taxes services, arguing that the current 20% rate is a barrier to viability. If the government rejects the proposal, the sector may face a wave of bankruptcies, potentially altering the landscape of British high streets and local communities.