Rachel Reeves’s new UK days out tax rule starts on Thursday | Politics | News
Rachel Reeves believes tax cut will help families over summer (Image: Getty)
A new tax cut in the UK that affects the coming days comes into force today, June 25.
With the temporary VAT discount coming into effect due to the summer holidays of schools, families will now be able to buy cheaper tickets for theme parks, zoos, museums and children’s meals.
The Great British Summer Savings initiative will see VAT reduced from 20% to 5% on ticket prices for various attractions in a bid to compete with the cost of living.
The tax cut will come into force from today for school closures at the end of this month in Scotland, followed by July in Northern Ireland, England and Wales, and will remain in place until September 1.
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Tax initiative will lower ticket prices at theme parks (Image: Getty)
Summer holidays can be a stressful and expensive time, Chancellor of the Exchequer Rachel Reeves said, explaining that the aim of the VAT CUT on family-related activities is to “help people remember those precious memories during their summer holidays, but without having to spend so much money on it”.
He added: “I know the cost of living is the number one concern for families and it can be even more difficult during the summer holidays when kids want to do things and money is tight. That’s why we’re making it a little easier for families to make memories and enjoy little treats together while supporting businesses across the UK.”
But people share concerns about the tax cut and believe it won’t make much of a difference.
Alan, 42, from Brighton, enjoys going to theme parks regularly with his family but isn’t expecting much from the VAT cut. BBC reported.
“This type of entertainment is quite expensive in the first place. He stated that this is ‘negligible’ and that the tax deduction only benefits those who go to theme parks only once.”
He explained that having a theme park pass was the best option for his family, which they used to go to Legoland, Chessington World of Adventure and Sea Life.
Butlins will join the cut and provide cheaper meals and day tickets for children (Image: Getty)
Helen Miller, director of the Institute for Fiscal Studies think tank, has previously said these measures would save money, but estimated they would amount to “an average saving of around £10 per UK household”.
Alan added that addressing energy and fuel costs would be more beneficial for families.
“It’s a mystery how the government can say this will result in household savings,” he said.
Reeves pointed out the work the government is doing to combat this problem.
He said: “This builds on the support we have already put in place, including a fuel duty freeze, a £117 cut on energy bills and a freeze on prescriptions and rail charges.
“We can do this because we have the right economic plan, which ensures the UK has the fastest growing economy in the G7.”
