11 reported
Chefs and restaurateurs have voiced support for Andy Burnham, the Labour candidate in the Makerfield byelection, after he called for a reduction in VAT for hospitality businesses from 20% to 10%. Burnham is expected to launch a challenge to Keir Starmer’s leadership if he wins the byelection. The chefs have launched a campaign called “VAT’s the problem,” arguing that a VAT cut would help struggling businesses. Tom Kerridge, a restaurateur and BBC presenter, said he hopes Burnham becomes prime minister, citing Burnham’s understanding of hospitality as Manchester mayor. Other chefs, including Thomasina Miers and Tommy Banks, also expressed support for Burnham’s position on VAT. The article notes that Reform UK leader Nigel Farage has also proposed cutting VAT to 10%, but Kerridge criticized Farage’s plan to fund it by reinstating the two-child benefit cap. The article is based solely on reporting from The Guardian.
What’s reported
Chefs and restaurateurs have said they hope Andy Burnham becomes prime minister after he backed calls to cut VAT for hospitality businesses.
Burnham is standing as the Labour candidate in the Makerfield byelection and is expected to launch a challenge to Keir Starmer’s leadership if he wins.
Burnham has called for the VAT rate to be cut from 20% to 10% to be in line with European rates.
Chefs have launched a campaign named “VAT’s the problem,” arguing that a cut in VAT would help struggling businesses.
In France, Spain and Italy, VAT in pubs, restaurants, hotels and bars is 10%, and in Germany it is 7%.
Tom Kerridge said he hoped Burnham would become prime minister and that Burnham understands nightlife, food, hospitality and entertainment.
Nigel Farage has also said he would cut VAT on hospitality to 10%, but Kerridge said he disagreed with Farage’s pledge to reinstate the two-child benefit cap to fund this.
Kerridge said hospitality venues were closing at a rate of 21 a week due to hikes in business rates, employer national insurance, the minimum wage, rising energy bills and food inflation.
Sacha Lord, Burnham’s adviser and friend, said a VAT reduction is the one single mechanism that can save many hospitality businesses and jobs.
Thomasina Miers said Burnham understands hospitality and that the current Labour leadership does not understand the sector in the same way.
Tommy Banks said he wholeheartedly supports Burnham’s comments on VAT and that the industry is at crisis point.
Key figures
Andy Burnham: Labour candidate in the Makerfield byelection, Manchester mayor
Tom Kerridge: Restaurateur and BBC presenter
Nigel Farage: Reform UK leader
Sacha Lord: Entrepreneur, Burnham’s adviser and friend
Thomasina Miers: Co-founder of the restaurant chain Wahaca
Tommy Banks: Michelin-starred chef, owner of the Black Swan at Oldstead and Roots in York
Keir Starmer: Labour leader (mentioned as target of potential leadership challenge)
Rachel Reeves: Treasury figure (mentioned as lacking understanding of hospitality)
Sources: The Guardian