The night-time adviser for Greater Manchester has urged the government to scrap the upcoming increase in hospitality VAT in response to the enactment of Plan B, stating the rise “will create job losses up to 120,000.”
Sacha Lord warned businesses in Northern towns and cities will be affected most by the measures, as he launched the Axe the Red Wall Tax campaign to raise awareness for the plight of the industry.
“During lockdown the government actually did some really good things, one of them being they reduced VAT from 20 percent, down to 5 percent, and that absolutely saved jobs and the businesses that you’re going to right now,” said Lord.
“They increased it to 12.5 percent only a few weeks ago, but the intention is, again, to increase it up to 20 percent. To go from five to 20 percent, in only six months will close businesses, it will create job losses up to 120,000.”
“Let’s make as much noise as we can, because sadly, if we don’t axe the Red Wall tax, we know it’s going to affect the poorest much harder than it affects the richest.”