29/05/2026
Parents could see some extra savings this summer after the government announced a temporary VAT cut from 20% down to 5% on selected family activities and childrenβs meals.
Between 25 June and 1 September, places such as zoos, cinemas, museums, theme parks and soft play centres could become cheaper, along with some kidsβ meals in restaurants.
The idea behind the scheme is to help families cope with rising costs during the school holidays, although businesses wonβt be required to pass the full reduction on to customers.
However, what does this mean for small business owners?
β’ Businesses arenβt legally required to pass the full savings on to customers
β’ Smaller businesses say updating VAT systems for a temporary scheme could be difficult, with an additional admin burden
If your business will be impacted by this change and you need any help or support, as always please reach out π