04/06/2026
10% VAT IS FAIR FOR HOSPITALITY
The hospitality industry across Northern Ireland and the UK is at breaking point.
At The Hatch Streetfood in Newcastle and Banbridge, we work incredibly hard to provide high-quality food using local suppliers and fresh local produce wherever possible. We believe in supporting our local farmers, butchers, bakers and producers, even though it often means our profit margins are much smaller than large chain operators.
Over the last few years we’ve absorbed rising food costs, soaring energy bills and increasing operating expenses. Now we’re facing further pressure from increases in the National Minimum Wage, employer National Insurance contributions and pension costs.
Hospitality businesses are not asking for handouts. We simply want a fair opportunity to survive, grow and continue serving our communities.
We employ local people, provide first jobs for young people, support local suppliers and help bring life to our towns. Every pound spent in hospitality circulates back into the local economy.
Yet we continue to pay one of the highest VAT rates for hospitality in Europe at 20%, while many European countries operate at significantly reduced rates for food and hospitality businesses.
A reduction in VAT to 10% would help businesses like ours:
Keep prices affordable for customers.
Protect local jobs.
Continue supporting local suppliers.
Invest back into our communities.
Ensure independent hospitality businesses can survive.
Without meaningful action, more independent cafés, restaurants, food trucks and hospitality venues will disappear from our high streets.
We love what we do, and we’re proud to serve our communities in Newcastle and Banbridge. But the reality is that many businesses are now being pushed beyond what is sustainable.
It’s time for a fair VAT rate for hospitality.
10% is fair.
Support local hospitality before it’s too late.
