Reeves’s tax cut on children’s meals a political ‘soundbite’, say restaurateurs
Chancellor Rachel Reeves announced a temporary VAT cut on children's meals from 20% to 5% as part of a summer savings initiative. Restaurateurs have criticized the measure as a political gesture that will not significantly impact families or businesses. Some industry leaders are calling for broader VAT reductions to align with European rates and provide more substantial support to the hospitality sector.
- ▪The VAT cut on children's meals is effective from June to September.
- ▪Many restaurateurs believe the tax cut will not benefit families as children's meals are often sold at a loss.
- ▪Industry leaders are advocating for a permanent VAT reduction to align with European standards.
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Rachel Reeves unveiled the cuts as part of a ‘Great British summer savings’ campaign. Photograph: Toby Melville/ReutersView image in fullscreenRachel Reeves unveiled the cuts as part of a ‘Great British summer savings’ campaign. Photograph: Toby Melville/ReutersTax and spendingReeves’s tax cut on children’s meals a political ‘soundbite’, say restaurateursChancellor’s measure to help families save money during summer holidays ‘won’t make any difference’Helena HortonSat 23 May 2026 05.00 EDTLast modified on Sat 23 May 2026 05.01 EDTSharePrefer the Guardian on GoogleCutting tax on children’s meals is a political “soundbite” that will make little difference to families or businesses, restaurateurs have said.This week, Rachel Reeves, the chancellor, announced a temporary reduction in VAT on…
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