On 13 July 2020, Order 2020 (S.I. 2020/728) was made announcing the reduced Value Added Tax (VAT) rate in the field of hospitality and tourism in light of the ongoing Covid-19 pandemic.
More specifically, the Order provides for a temporary reduced VAT rate for certain supplies in the course of catering, holiday accommodation and admission to shows and other attractions.
This measure comprises part of the government's COVID-19 pandemic package. The relief and consequential changes to the flat-rate scheme both have effect for the period from 15 July 2020 to 12 January 2021.
The Order entered into force on 15 July 2020.