The Tax Parity Day in support of lower VAT was held last week attracted support from many hospitality organizations, large and small, and appears to have been far more successful than many sceptics were suggesting: both customer and media interest was high, ensuring that the message was widely spread, and that pressure on government continues to build. We show a small sample of the feedback below.
Jacques Borel commented:
“Tax Parity Day was an outstanding success with companies taking part reporting that it was a wonderful way to reinforce our message that lower VAT in our sector will deliver lower prices and create hundreds of thousands of jobs.
“Many operators who took part in the day reported a large uplift in sales and report that it was a wonderful way to show customers the benefits to them of our campaign goals.
“Tax Parity Day also attracted substantial media interest with numerous TV and radio interviews – and our newspapers clippings file already contains several hundred stories.”
JD Wetherspoon
Tim Martin, chairman, described Tax Parity Day as an outstanding success in their pubs across the UK
“…with approximately 20% more pints and meals sold on the day.
“Customers welcomed the lower prices on food and drink and also engaged with our staff to learn more about the campaign and the reasons behind it.
“Tax Parity Day was also a great way of highlighting the great British pub.”
Pizza Hut
Jens Hofma, managing director:
“Both our guests and our team members responded very positively to Tax Parity day. For many it came as a surprise that there is such a large gap in VAT between restaurants and supermarkets. The reactions received during the day made us feel even stronger about the injustice of penalising the restaurant and pub sector through unequal VAT treatment, despite the fact that we are one of the major providers of much needed jobs in the country.”
Batemans
Stuart Bateman, managing director:
“A number of our pubs took part in the VAT Parity day, and there were unexpected but interesting results. We reduced the price of drink and food in the participating pubs, which included our Visitors’ Centre, so that we could closely monitor the effect. Not only was the take up in our Visitors’ Centre by just under 20% but we found that the majority of additional customers were over 55 and were trying the stronger ABV beers, not in pints, but in halves or thirds.
“Not only did we see customers who do not usually visit us during the week, but we also met new customers who have promised to return. Any regrets on the day? Yes – we wish we’d put another member of bar staff on!”
Whiting & Hammond
Brian Whiting, managing director:
“It was a very successful day. Our customers seemed generally interested and very surprised how much of their bill went in VAT – they loved the reduction for the day and I have no doubt this was a great exercise to do.
“All who engaged in the conversations with the crew at the pubs were on our side. The managers reported that they got the real sense of injustice with supermarkets selling value-added items like ‘A gastro-pub style steak & kidney pie’ and not having to add the VAT!”
St Austell Brewery
James Staughton, managing director:
“The campaign was successful in highlighting the fact that this is an important national challenge and yet is also a great opportunity. But it has also raised the fact that this is a significant issue for the South West as well, which is so reliant on tourism and hospitality.
“In our own pubs, we witnessed a 10% uplift in like-for-like food and drink sales, which demonstrates that a cut in VAT for the industry can bring more people into pubs and therefore generate economic activity and ultimately create jobs.
“We hope that the government looks at the issue of fair taxes for pubs and restaurants as matter of urgency. 10,000 pubs closing down in the last few years is a clear sign that the current tax regime is unsustainable.”
