Tax Equality Day: VAT Club says 51 companies to drop prices by 7.5% today

Borel said after a late flurry of participants in today’s action the number of companies had exceeded last year’s total of 50.

However, he admitted this did not equate to 100% of his 55 VAT Club members taking part.

Tax Equality Day sees participating venues drop their prices by 7.5% - the equivalent effect on prices of a VAT cut from 20% to 5%.

Borel said several companies had signed up in the last 48 hours, including the Malhotra group which operates nine pubs. He said he was confident the total number of venues taking part would reach 15,000.

Other high profile participants include JD Wetherspoon, Punch Taverns, Enterprise Inns, Fullers, Everards and Admiral Taverns as well as restaurant chains such as Pizza Hut and TGI Fridays.

Pressure​

Borel said the support for action showed pressure was building on the Government to cut VAT for the hospitality sector.

He said: “The Conservatives want to increase employment and they have done some good things. But still we 840,000 young people without a job. It is a timebomb and what is the answer? George Osborne does not have one but I do. Cut VAT and pubs and restaurants will employ more people.

“Even if we don’t get the reduction we want, which would mean £7.8bn, any cut would have a huge impact. If we can get £6bn or £7bn then imagine what that can do for employment. So much more than the £300m from the beer duty cut and in the case of VAT the savings would be passed on to every single operator.”

Borel said he expected a successful second Tax Equality Day to boost membership of the VAT Club, with his prediction that by Christmas he would have 75 members.