If you’ve spent any time in hospitality over the last few years, you don’t need a report to tell you things are tough.
Margins are tighter. Costs keep rising. Teams are stretched. And for many businesses, it’s no longer about growth — it’s about survival.
That’s exactly why the #VATsTheProblem campaign has landed with such impact across the industry.
Led by Tom Kerridge, and supported by some of the biggest names and organisations in UK hospitality, this isn’t just another campaign. It’s a clear, unified call for change — and one the entire industry is being asked to get behind.
What is #VATsTheProblem?
At its core, the campaign has a single, simple ask:
Reduce VAT for hospitality from 20% to 10%
The campaign is built around a national petition, aiming to gather one million signatures to push government action and bring UK hospitality in line with the rest of Europe
You can sign the petition here: VATsTheProblem website
Why is this such a big issue?
The reality is stark.
The UK currently applies 20% VAT to most hospitality services — one of the highest rates in Europe
Compare that to:
- France, Spain, Italy — around 10%
- Germany — as low as 7%
- Ireland — around 9%
That difference matters.
Because every pound spent in hospitality in the UK sees a much larger portion go to tax — leaving less to:
- Pay teams properly
- Invest in kitchens and sites
- Keep prices accessible
- Or simply stay open
At a time when energy costs, wages, and operating pressures are rising, this additional tax burden is having a real impact on the sustainability of businesses.
Why now?
Hospitality has always been resilient. But there’s a growing sense across the industry that resilience is being stretched too far.
Closures are becoming more common. Margins are tightening. And talented people are leaving the sector — not because they don’t love it, but because long‑term stability is harder to achieve.
This campaign isn’t about boosting profits. It’s about creating breathing space
A VAT reduction would allow businesses to:
- Reinvest in teams and training
- Improve job security
- Stay competitive
- Build more sustainable operations
In simple terms, it gives the industry a chance to stabilise and grow again.
Tom Kerridge’s role — and why it matters
Having Tom Kerridge leading this campaign is significant.
He is not just a well-known chef — he is an operator who understands the day-to-day realities of running pubs and restaurants in the UK.
Kerridge has been clear in his message:
The sector is under pressure, and a VAT reduction is one of the most effective ways to support it
The campaign has already brought together:
- Leading chefs including Yotam Ottolenghi, Simon Rogan, and Ravneet Gill
- Major industry bodies such as UKHospitality and the British Beer & Pub Association
- Operators across the entire sector
This level of alignment across the industry is rare — and underlines how serious the situation has become.
Why signing the petition matters
This is about more than policy. It’s about the future of the industry.
Signing the petition supports:
- Job security across hospitality
- Independent businesses and local venues
- Long-term career opportunities
- Investment in people and operations
The aim is simple — to bring enough voices together that the issue cannot be ignored.
What can we do as an industry?
This campaign depends on collective action.
That means:
- Signing the petition
- Sharing it with teams
- Promoting it across social channels
- Making it visible within venues and communications
This isn’t just for business owners. It applies to:
- Chefs
- Front of house teams
- Suppliers
- Recruiters
- Customers
Anyone connected to hospitality.
The bigger picture
Hospitality plays a vital role in the UK economy and communities.
It provides employment, drives local economies, and creates spaces where people come together. But it is also under increasing pressure.
The #VATsTheProblem campaign represents an opportunity to push for meaningful change — and to ensure the industry is supported in a fair and sustainable way.
Final thought
This is a moment where the industry can come together with a clear, unified message.
It is simple to act, but it carries real importance.
Sign the petition here:
Because long-term change often starts with collective action.