BHA's call to reduce VAT to 5%
The British Hospitality Association (BHA) has teamed up
with the British Association of Leisure Parks, Piers &
Attractions, the Federation of Small Business and the Tourism
Alliance to encourage the Government to slash VAT by 5% to allow
the hospitality industry to grow.
According to the BHA, a lower VAT on restaurant meals, hotel
accommodation and entry to attractions would help boost jobs,
wealth and hospitality growth next year.
From next month, the BHA will be increasing its efforts to
ensure that the Government takes necessary steps to slash the VAT
rate.
While such a move could help the hospitality sector, firms
should also make sure that an adequate business insurance cover is
in place.
According to BHA's British Hospitality: Trends and Developments
2011, there were more than 100 new hotel openings in 2011. Next
year, 170 new hotels will open their doors to the public.
A series of talks between the BHA and HM Treasury officials are
under way, the association said.
Copyright Press Association 2011 - Shruthi N
