Great British Summer Savings

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summer tax savings

Great British Summer Savings

The UK Government has announced its Great British Summer Savings Scheme to help families enjoy days out this summer for less in an effort to help with the cost of living whilst supporting those businesses that depend upon summer footfall.

As part of the scheme the VAT rate will be temporarily reduced from 20% to 5% on children’s meals and family admission tickets between the dates of 25 June and 1 September 2026.

Families will also benefit from free bus travel for children aged 5 to 15 in England on participating local buses throughout August, making it more affordable for families to get out and about.

The following services will be subject to the reduced VAT rate of 5%:

  • Children’s menu meals in restaurants
  • Family/admission tickets to cinemas
  • Theatres
  • Amusement/theme parks
  • Zoos
  • Museums

For the reduced rate to apply to a children’s meal the following conditions must be met:

  • The meal is held out for sale only as a meal for children
  • The meal is supplied as part of catering services by a restaurant or similar establishment and is consumed on the premises.

The VAT rate increases back to the standard rate on 1 September.

Other measures announced

Also announced was an increase in the tax-free mileage rates, backdated to 1 April 2026.  Car and van drivers can now claim 55p per mile for the first 10,000 business in the tax year and 25p for mileage over 10,000.  This should reduce the impact that increasing fuel prices has had on those who drive for work.

A 12 month road tax holiday has also been declared for HGVs, saving up to £913 per vehicle over the course of the year for those larger lorries.

Please contact us if you need any further information.

 

 

 

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