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Clacks MP John Nicolson speaks in support of 5% VAT reduction to provide more support to hospitality sector.


Categories: News

John Nicolson brought the voices of many Clacks entrepreneurs to a debate in Westminster today.  The MP was speaking in favour of the SNP’s proposal for a VAT reduction of 5% for hospitality businesses.

With businesses facing difficulty with rising operating and goods costs the SNP are pressing the government to reduce the rate of VAT. This change would provide some financial headroom for businesses hard-pressed by the current vast energy bills.

The SNP MP for Ochil and South Perthshire, Mr. Nicolson said: “We’ve been talking to business in Alloa this past week to get a sense of the difference this would make. Alison Turner in the Ladybird Tearoom said that this reduction would be “an enormous help and would certainly be noticed by us.”

The publican at The Royal Oak Craig Stewart praised the proposal saying: “Of course, it will be a massive help to those struggling to keep their places open. When the previous VAT reduction happened, it was amazing. It made such a difference.”

A number of European countries offer reduced VAT rates for hospitality, recognition of the vital role that the industry has in our communities, and the difficult times faced by business owners in recent years.

Mr. Nicolson argued that  a reduction in VAT would be in taking some of the pressure off of local businesses.

“The hospitality sector needs help now. Westminster has the levers to control VAT. The UK Government refuses to take measures to limit energy prices, so let the government instead give the businesses in our communities a break by lowering VAT by 5%.”

“In his latest toe curling Party Political Broadcast I notice Rishi Sunak had stopped attacking asylum seekers for a moment in order to pose in front of a massive sign reading ‘TAX CUTS’. 

Oh good, you might think. A chance to relieve the burden on those hardest pressed in these difficult times.

No. Of course not. He wants to cut taxes for wealthy mates so their families can benefit from Inheritance Tax Cuts.”