Wetherspoons cuts beer prices to protest alcohol tax

Wetherspoons is cutting all food and alcohol prices today in protest over tax.

(Wetherspoons)

Wetherspoons will cut the price of food and drink in all 900 of its pubs today in a protest over Value Added Tax (VAT).

The pub chain announced that its England, Wales and Northern Ireland outlets will reduce the price of all food and alcohol by 7.5pc, while in Scotland food and soft drinks only will undergo the same price cuts.

The move is in protest over the high prices faced by pub-goers, as all food and drinks in pubs are currently subject to 20pc VAT, whereas food in supermarkets benefits from zero-rate VAT, allowing retailers to use that saving to subsidise alcoholic drinks sales and undercut pubs and restaurants.

Research carried out for the British Beer and Pub Association showed that cutting VAT for the hospitality industry by only 5pc would create 78,000 new jobs, providing a big boost to the economy.Wetherspoon’s chairman, Tim Martin, said: “We are proud to support the campaign to reduce the level of VAT in the pub industry.

"On Tax Equality Day, customers in our pubs will find the price of their drinks and food to be lower than normal. We are keen to highlight the amount which customers would save, if VAT in pubs were lowered permanently." -telegraph

This tax makes no sense to me. Not taxing the stores but taxing the pubs? Do you want more people to be drinking on your streets? Plus, look at all the press they're getting for cutting the price!