The campaign, #VATsTheProblem, urges the sector to back a VAT reduction to 10%, bringing the rate in line with Europe, by signing the petition, which has a target of 1m signatures.
The multiple operator wrote an open letter, highlighting the pressures faced by businesses across the industry.
He outlined how in Europe, VAT rates run anywhere between 8% and 12% compared to the UK’s current 20%.
Common issue
Trade bodies including UKHospitality (UKH), the British Beer & Pub Association (BBPA), the British Institute of Innkeeping (BII) and CODE Hospitality have all backed the campaign.
BII CEO Steve Alton said: “Our members have consistently prioritised a fair VAT rate in line with our European counterparts, to support growth, allow them to invest in their businesses and their teams.
“With more than 40p in every £1 taken over the bar going to Government in taxation, our sector has been overtaxed for too long and this is simply unsustainable. We have already seen significant preventable losses of skilled jobs and longstanding businesses.
“This campaign unites our essential sector in the call for a fair deal for pubs and hospitality alike, to allow us to remain at the heart of our communities. The huge demand for people to connect, celebrate and socialise is there - hospitality must now be allowed to remain as the centrepiece of high streets, villages, towns and cities, with a reduction in the cumulative tax burden we face with fair rate of VAT at 10% for hospitality.”
Kerridge told The Morning Advertiser it had taken some time to get all the parts in place ahead of the campaign launch.
He said: “It’s taken a while to get everything in place. I wanted to make sure it wasn’t just a Michelin-starred chef talking about it. Behind it there are a lot of others I’ve talked to from trade bodies and representatives from the sector.
“VAT is the one thing that affects all of us in hospitality.”
It is set to officially launch to consumers in a months’ time. Prior to this, the celebrity chef is urging the hospitality trade to spread the message and get as many signatures on the petition as possible.
Economy stimulation
He said: “We are launching it to consumers on 1 July because it gives everyone in hospitality a month to get all the assets ready and it coincides with Ireland dropping VAT to 9%.”
This comes after the Government announced a VAT reduction to 5% on children’s meals in venues including pubs across this summer.
Kerridge said: “Although the Government has shown they can make fiscal changes whenever they want it, gives us to July to October, when the Budget is, to put pressure on Gov,” he said.
“The VAT reduction on children’s meals shows the Government knows a cut is the route to stimulating the economy.
“This is about long-term growth, reinvestment [and decreasing] youth unemployment.”
