A West Dorset business owner is calling on other hospitality businesses in Dorset and up and down the country to lobby their MPs to reduce VAT.

Steve Attrill of Hive Beach Café, Watch House Café and The Club House, thinks the 7.5 per cent rise in April from 12.5 per cent back to pre-pandemic levels of 20 per cent was too soon for struggling hospitality businesses.

In July 2020, the Government introduced a reduced rate of VAT of five per cent for hospitality, which increased to 12.5 per cent in October 2021 and then back to 20 per cent in April.

Steve said: "It was a lifeline keeping it at 12.5 per cent.

"I think the only way to move something forward is to rally the troops. Hospitality is one of the biggest employees, especially in the South West, if not the country. We're up against VAT going up to 20 per cent ad the increases in food prices and fuel.

"We're fighting fires with staffing, we're fighting fires with food expenditure, we're fighting fires with utilities - like everyone is - we're cutting our hours at certain sites to accommodate staff we've got.

"What I would like is everyone in hospitality to contact Chris Loder [West Dorset MP], or their local MP, lobbying for VAT to be reduced to 12.5 per cent."

Prices have not yet increased across the three sites with Steve stating they are trying to hold prices as much as they can.

He added: "We understand it has to go back up, we just think it is too soon.

"We should have had another busy summer to take advantage of the VAT - we need a break."

This is also coupled with the rise in interest rates announced today (Thursday).

Louise Chidgey and Cass Titcombe at Brassica in Beaminster agree that keeping VAT at 12.5 per cent would have given them "a fairer chance to recover" and are also feeling the impact of lack of staff, huge energy costs, Covid cancellations and the rising cost of produce.

Mark Hix, of The Oyster and Fish House in Lyme Regis and The Fox Inn in Corscombe, also agreed the VAT rise was too soon.

"We're getting crippled on everything at the moment," he said.

"Do we stick all the prices up? Which I'm hesitant to do. It obviously means that you make less profit, because the minimum wage has also gone up - we're bombarded at the moment.

"I buy locally, so the food side of it doesn't really affect us… so that's the message everyone should be getting, support local.

"Everyone is in the same boat, we've all suffered in the last two years, we're trying to get back on track and make money, but along the way there's all these different things happening that are going to affect the business.

"There's already been a lot of casualties with lockdown, but we will have to try and get creative."

Brewery Hall and Woodhouse has been unable to comment and MP Chris Loder and Bridport brewery Palmers, as well as Dorset Food and Drink and Dorset Farmers' Market have also been contacted for a comment.

Is the VAT increase impacting on your business? Get in touch by emailing [email protected]