Government cuts VAT on tourist attractions

Apocalypse, Drayton Manor

The Chancellor of the Exchequer has announced that value-added tax (VAT) on tourist attractions will be cut from 20% to 5% for six months.

The move is designed to stimulate the hospitality and tourism sector in the wake of economic damage caused by the COVID-19 pandemic and its associated restrictions.

The temporary cut, which will also apply to hotel rooms, will run from 15 July to 12 January next year.

A VAT cut has long been campaigned for in the UK theme park industry, with Merlin Entertainments and its chief executive Nick Varney one of its loudest advocates.

The cut would reduce the gate price at Alton Towers from £58 to about £51 if all of the savings are passed on by Merlin to its guests.