Giving his Summer Statement on 8 July, the chancellor announced a headline measure of VAT on food, accommodation and attractions being cut to just 5%.
What a difference! Just weeks ago, our coastal towns were silenced under the UK-wide lockdown and now life is coming back to some of the nation’s favourite seaside resorts, albeit with a few caveats.
To support businesses most affected by the COVID-19 crisis and subsequent UK lockdown, the government has announced a temporary adjustment to VAT rates for the hospitality, hotel and holiday accommodation sector from 15 July 2020 to 12 January 2021.
Amusement arcades and other businesses could be set for a tax rebate worth billions of pounds after a legal victory for the sector.
Coronavirus could not have come at a more unfortunate time for businesses which depend on tourism.
The nationwide lockdown which began last weekend came just as businesses in the county’s leisure and tourism sector were expecting to increase trade following winter.