Pub and restaurant tax cuts 'would revive high streets'

Cutting the VAT paid by pubs and restaurants would "revive moribund high streets", said JD Wetherspoon chairman Tim Martin as his pub chain joined those slashing prices in today's tax protest:

The Government and the public yearn to revive moribund high streets, and our proposals will provide a massive shot in the arm, especially in poorer areas.

Supermarkets pay virtually no VAT in respect of food sales, whereas pubs pay 20 percent . This disparity enables supermarkets to subsidise their alcoholic drinks sales to the detriment of pubs and, indeed, restaurants.

– Tim Martin

More: The 40 pubs and restaurants taking part

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Pubs drop prices in VAT protest

Pubs and restaurants are set to drop their prices today as part of a VAT protest. The chains and breweries are taking part in 'tax parity day' in a bid to show the Treasury that a drop in VAT would lead to increased sales.