More than two-thirds (67%) of people questioned in the research commissioned by software company Fourth Hospitality said the Government should follow the example of France, which lowered VAT charged to bars and restaurants in 2009 to 5.5%. French lobbiest Jacques Borel estimates that between 140,000 and 320,000 extra jobs can be created in the UK as a result of a reduction in VAT from 20% to 5%.
The survey, which was carried out at the end of March, also revealed that the pub is still held in high regard, with 76% of those surveyed seeing pubs in a very positive light. Of these, 32% said ‘pubs were a great part of British social life and should be helped to survive’; 16% saw the majority of pubs as ‘well run and playing an important role in preventing under-age drinking and alcohol abuse’; and more than 27% described pub closures as having a ‘negative impact on local communities’
Ben Hood, CEO of Fourth Hospitality, said: “It is extremely powerful to see so many people in favour of a VAT cut. Some people in the hospitality industry will be surprised to see that this issue is really starting to resonate with consumers.”
Peter Thomas, chief executive of the BII, said: “We are delighted to discover this is something that is fully supported by the public.
“Furthermore, while we have always instinctively known that pubs are valued and highly regarded by the public, it’s heartening to see this view reflected in such strong and validated consumer research.”
Other research findings:
■ The beer tax duty escalator was voted ‘bad news for pubs’ by 62% of respondents, with nearly 20% of these saying such increases would be ‘disastrous and would lead to job losses and pub closures’.
■ Less than 18% of respondents said that
the minimum pricing of alcohol will discourage problem drinkers. A further 36% said it was ‘bad news and will affect everyone’.
■ While 68% believed that there were problems with binge drinking and excessive alcohol consumption, only 20% saw supermarkets as irresponsible by loss-leading and selling alcohol cheaply.
■ Only 14% said they visited the pub less regularly because they or their friends smoked, against 70% who visited pubs and restaurants more regularly or by the same amount.