SNP MP, Graham Leadbitter, has given his backing to a campaign calling on the Chancellor to reduce VAT for hospitality businesses.
A UK Parliament petition in favour of the campaign has been shared widely by businesses in his Moray West, Nairn and Strathspey constituency, which is home to the second most signatories of the petition in the UK.
Mr Leadbitter said the UK government needed to give businesses “a fighting chance” through a cost of living crisis that has driven up food and energy costs, and squeezed customers’ incomes.
It also comes at a time of record unemployment in the UK, blamed in no small part on the Chancellor’s employer national insurance hike.
Although the unemployment rate in Scotland (3.8%) is far lower than the overall UK rate (5.2%), and the lowest in Britain, the SNP has warned that the UK government’s policies could negatively impact jobs in Scotland and set back the progress made by the Scottish Government to build and maintain employment opportunities.
The SNP has consistently supported the campaign, and promised to back a lower rate of VAT for hospitality businesses in its 2024 election manifesto.
Commenting, Graham Leadbitter MP said:
“Whether it’s pubs, cafes, or restaurants, our hospitality businesses, especially in communities like the ones I represent, are the beating hearts of towns and villages.
“They’re far more than just what they sell and make, and it’s about time their contribution to our communities is recognised by a UK government that has instead so far destroyed jobs and opportunities across the country with its policies.
“They need to give hospitality businesses a fighting chance to survive through this cost of living crisis, which isn’t just driving up the cost of food and energy but squeezing customer’s incomes and forcing them to spend less eating out.
“A cut on VAT would go a long way towards helping businesses bring back customers who are watching their spending, and undo the damage caused by the Chancellor’s national insurance hikes and inability to get a grip of inflation.
“I’m proud to back this campaign and will use every means at my disposal to have this raised in Parliament.”