Foodservice and hospitality equipment suppliers have added their support to an industry-wide call for VAT in hospitality venues to be cut to 10%.

High-speed oven manufacturer Merrychef and water filter specialist BRITA Professional have backed #VATsTheProblem, an initiative spearheaded by chef Tom Kerridge calling on the government to reduce VAT for hospitality venues from 20% to 10%.

Merrychef managing director Colin Lacey said: “Operators are facing what can only be described as a relentless accumulation of cost pressures. Since Covid, the sector has absorbed significant increases in energy costs, wage inflation, National Insurance contributions and wider operating expenses, all while consumers themselves are becoming more cautious with spending.

“From our conversations with customers, the challenge isn’t a lack of ambition, it’s confidence. Businesses are being asked to grow and modernise at a time when the cost of doing business continues to rise. For many operators, it feels like death by a thousand cuts.

“Hospitality is one of the UK’s most important industries, creating jobs, supporting communities and driving economic activity. We believe measures that improve cash flow and encourage investment are critical to the sector’s future, which is why Merrychef supports the industry’s call for a reduced VAT rate for hospitality through the #VATsTheProblem campaign.”

The petition, which has more than 200,000 signatures, calls on the government to bring hospitality VAT in line with European countries such as France, Spain and Italy, where it is 10%.

BRITA Professional UK sales director Samantha Scoles added: “At BRITA, we work closely with hospitality operators, and we see first-hand the pressures they are facing. Rising costs, tighter margins and increasing operational demands continue to challenge businesses across the sector. At the same time, we see the vital role hospitality plays in communities, local economies and employment.

“We support initiatives that help create a more sustainable environment for operators to invest, grow and continue delivering exceptional experiences to their customers. That’s why we are proud to support the #VATsTheProblem campaign and the call for a 10% VAT rate for hospitality.”

Kerridge highlighted the breadth of the initiative. “This campaign reaches far deeper than just the front-line positioning of pubs, restaurants, coffee shops, bars and hotels,” he said. “We all know that hospitality is built upon relationships with supply chains. These are building blocks that the individual businesses are built upon. So, whilst this campaign hits the front end, it makes a big difference to everybody who is working or has an attachment with hospitality. We continue to thank the supply chains for all of their support.”

William Murray CEO Anita Murray encouraged the industry to get behind the initiative and support hospitality businesses.

She said: “If you haven’t signed the petition yet, now is the time. Let’s help take this campaign beyond one million signatures and send a clear message that hospitality businesses need more support.”

The campaign is also supported by major hospitality groups, including UKHospitality, the British Beer and Pub Association, the British Institute of Innkeeping and CODE Hospitality.

To sign the petition, click here.

(Image credit: AnnaNahabed)