The letter, written by UKHospitality, calls on the Chancellor to lower business rates, cut VAT for hospitality, and overhaul changes to national insurance contributions through targeted support for employers hiring young people and those returning to work.
Signatories include Big Table Group, Wagamama, Fuller’s, Greene King, KFC UK & Ireland, Loungers, Marston’s, and Stonegate Group.
The letter describes the impact of the last budget as ‘immediate, concentrated and socially regressive’ and says the sector has been ‘taxed out’ with businesses forced to close, more than 80,000 jobs lost, opportunities for young people reduced, and prices increased for consumers.
Rachel Reeves will reveal the Government’s Autumn Budget on 26 November, when she is expected to announce a rise in income tax among other fiscal measures.
“This extraordinary coalition demonstrates the united view of hospitality that there needs to be urgent action at the budget,” says Kate Nicholls, chair of UKHospitality.
“From pubs, restaurants and hotels to leisure parks, visitor attractions and contract catering, hospitality is being taxed out.
“The impact of the last budget was devastating. Business closures, job losses, curtailed investment, consumer price rises and lost opportunities for young people are all direct impacts of the choice made to inflict £3.4bn of additional annual cost on our sector.
“Without action, we will see these impacts continue and intensify.
“In two weeks, these businesses and the millions of people they employ need to see measures to reduce hospitality’s cost burden and back our sector.
“Hospitality is clear: lower business rates, fix NICs and cut VAT to support hospitality, affect change on our high streets and support the renewal of the country.”