Restaurateur to continue fighting for VAT break for sector despite knock back

19 June 2009
Restaurateur to continue fighting for VAT break for sector despite knock back

A restaurateur who launched a nationwide petition demanding that Gordon Brown raise the VAT limit, says he will carry on fighting despite a knock back from a Treasury minister.

Over 50 restaurant owners throughout the Midlands have signed the on-line petition from Leicester curry house owner, Abu Taher, asking for businesses with a turnover less than £95,000 to be exempt from VAT. The current limit is £67,000.

TK Balti - posted his petition on the Number website.

However, a letter from Treasury minister, Angela Eagle, responding to the campaign, says: "The Government cannot change the UK VAT registration threshold agreement without prior agreement with the EU."

But that, said Taher, is not good enough. "The campaign is going to go on. The Government take £3.2b from the catering sector in tax every year and yet our plight is being ignored…I don't think they're helping small businesses at all."

Taher said that the problem is particularly bad for Indian restaurants because of the soaring prices of rice, oil and meat, coupled with new visa rules, which make it harder to recruit chefs from overseas.

Soren Jessen calls for suspension of stamp duty on business leases >>

ALMR urges chancellor to delay VAT rises and freeze beer tax >>

Hospitality needs 'radical' approach to VAT to ride out recession >>

VAT cut for UK restaurants will not happen, say experts >>

By Roger Bushby

E-mail your comments to Chris Druce here. jobs
Looking for a new job? Find your next restaurant job here with jobs

Blogs on]( Catch up with more news and gossip on all Caterer's blogs
[Newsletters For the latest hospitality news, sign up for our e-mail newsletters.
The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.


Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking