A government scheme aimed at easing the cost of living for families during the school holidays has come into effect, temporarily reducing VAT on a range of family-friendly activities, according to the Guardian.
What is the Great British Summer Savings scheme?
The chancellor has temporarily cut VAT from 20% to 5% on certain family-friendly activities for the duration of the summer holidays. The reduction runs from when Scottish schools break up on 25 June through to 1 September, when children in England, Wales and Northern Ireland return to classrooms.
Chancellor Rachel Reeves described the scheme as a way to "support families with the little treats in life". However, as the Guardian notes, businesses are not legally required to pass the saving on to customers, some may choose to pass it on in full, in part, or not at all.
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What activities are covered?
According to the Guardian, the reduced VAT rate applies to:
Children's and family tickets for cinemas, theatres, concerts, shows and exhibitions; admission tickets for children and adults at attractions including amusement parks, zoos, soft play centres, nature reserves and wildlife parks; and children's meals eaten in restaurants or cafes.
Notably, the reduction does not apply to takeaway meals. McDonald's is an exception, the Guardian reports the chain is extending its Happy Meal discount to drive-thru and app-based takeaway orders, with only home delivery excluded.
Which attractions and businesses are taking part?
Major attractions including Alton Towers, Legoland Windsor and Peppa Pig World are among those taking part. Merlin Entertainments, which owns 20 venues including Alton Towers and Legoland, has updated its ticket prices to reflect the saving. The Guardian reports advance tickets for both parks now start at £29.75, down from £34.
Longleat safari park in Wiltshire has also updated its ticketing, with advance family-of-four tickets dropping to £122.30, a saving of £17.50, according to the Guardian.
Cinema chains Odeon, Vue and Cineworld are also participating. The Guardian reports that Odeon says a family ticket, covering two adults and two children, will fall from £32 to £28.50 during the scheme.
On the restaurant side, Greene King, McDonald's, Wetherspoons and Nando's are among the chains promising to pass on the saving. The Guardian reports that Nando's "Nandino" meals will drop from £6.95 to £6.08, a Wetherspoons children's meal falls from £5.75 to £5.03, and McDonald's is cutting the price of a typical Happy Meal by 27% to £2.99.
What are the savings for a typical family?
According to the Guardian, the government says that if businesses pass on the reduced rate, a family of two adults and two children could save around £20 on a theme park outing, £17 at a wildlife park, £1.50 off children's cinema tickets and £2 off children's meals.
What is not included?
The Guardian notes several exclusions. Season tickets, such as Merlin passes starting at £139, do not qualify under the scheme rules, which state that weekly or season passes allowing visits beyond the summer holidays do not qualify if they cost more than a standard single-entry ticket. The cinema discount for adults is only available as part of a family package, not as individual adult tickets. Children's meals that include an alcoholic drink are also excluded.
What about existing bookings?
The Guardian reports that businesses are not obliged to refund customers who booked in advance. The government has said it "would expect that where a customer has prepaid that they would be refunded for any additional VAT paid", but individual businesses are setting their own policies. Longleat says customers with existing bookings covering dates in the scheme period will receive an automatic refund of the difference. Hever Castle in Kent, however, states on its website that the offer is "not retrospective" and cannot be applied to tickets bought beforehand.
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