The rate of VAT should be reduced to help hospitality businesses deal with soaring inflation, the Scottish Licensed Trade Association (SLTA) has argued.
VAT was reduced to 5% for the hospitality and hotel sectors in July 2020, later going up to 12.5%. It returned to the standard rate of 20% at the beginning of April this year.
Official data showed that Consumer Prices Index (CPI) inflation rose to 9.4% in June, up from 9.1% in May and remaining at the highest level since February 1982.
