Hospitality Ulster are part of the UK wide #VATsTheProblem campaign, which launched today (1 July), urging businesses, employees, customers and the wider public to sign a national petition calling for a lower VAT rate that would help protect jobs, boost investment, and support the long-term sustainability of the sector. The petition is currently standing at over 241,000 signatures, with an aim of one million.

The campaign comes as hospitality businesses continue to face rising employment costs, increased National Insurance contributions, higher energy bills and ongoing pressure on consumer spending.

Colin Neill, Chief Executive, Hospitality Ulster, said:

"Northern Ireland's hospitality businesses are among the most resilient anywhere in the UK, but resilience alone is no longer enough. Operators are absorbing unprecedented increases in costs while competing against businesses in the Republic of Ireland, where hospitality VAT is just 9% on food and 13.5% on accommodation."

"Reducing hospitality VAT to 10% would give businesses the confidence to invest, protect jobs and help keep eating and drinking out affordable for customers. This campaign is about giving hospitality the opportunity not just to survive, but to grow."

Among those backing the campaign is Simon McCance, chef-owner of Belfast's award-winning The Ginger Bistro.

Simon McCance, Chef-Owner, The Ginger Bistro, said:

"Every hospitality business is facing the same challenge. Costs are rising faster than revenues. As independent operators, we're constantly looking for ways to absorb those increases without passing them all on to our customers, but that becomes harder every month.

"A lower VAT rate and a fairer tax system on food would make a genuine difference. It would allow businesses like ours to invest in our teams, our premises and the overall customer experience. Hospitality contributes enormously to Northern Ireland's economy and communities, and it's time government recognised that through a fairer tax system."

Hospitality Ulster is encouraging hospitality businesses across Northern Ireland to support the campaign by promoting the petition to staff and customers and sharing the campaign through their own social media channels.

The organisation says reducing VAT would strengthen the competitiveness of the sector, encourage investment, protect employment and help ensure hospitality continues to play its vital role in supporting local economies and tourism.

The #VATsTheProblem petition is now live and can be signed at www.vatstheproblem.co.uk.