UK to cut VAT to 5% on summer family activities

The British government has announced a temporary reduction in value-added tax on a wide range of family activities and meals for the upcoming summer holidays, a policy officials say is designed to ease household budgets and support businesses. The initiative, called the Great British Summer Savings scheme, will run from June 25 to September 1, 2026.

Chancellor Rachel Reeves stated that the VAT rate on eligible items will be cut from 20 percent to 5 percent for the duration of the summer break. The reduced rate will apply to children’s meals in restaurants and cafes, as well as tickets for cinemas, theatres, concerts, shows, and exhibitions. It also covers admission to attractions including theme parks, fairs, zoos, aquariums, museums, adventure centres, and soft play facilities.

Officials said the program is estimated to cost approximately £300 million. In a related measure, children aged five to 15 in England will be able to travel for free on local bus services throughout the month of August.

Prime Minister Keir Starmer said the policy addresses ongoing cost-of-living pressures. He stated that he knows how precious family time is, yet many parents feel they must hold back...