Hospitality Sector

Joe Robertson Excerpts

Wednesday 3rd September 2025 Commons Chamber

[Charlie Dewhirst (Bridlington and The Wolds) (Con)]

The hospitality industry is often the unsung hero of our local communities. We often do not appreciate it enough and we take it for granted. It is everywhere: it is in every village and every town, and in every corner of our constituencies. This opportunity to debate the importance of the hospitality industry is extremely timely given the challenges it is facing.

As my hon. Friend the Member for Arundel and South Downs (Andrew Griffith) said, the hospitality industry offers many people the first opportunity to get into a first job. It offers opportunity for those who want flexible working, and it offers opportunity for career progression for those who wish to move into management and maybe aspire to own their own hospitality business one day.

As the proud representative of Bridlington and The Wolds, hospitality is vital to my constituency. I represent two seaside towns—Bridlington and Hornsea—and a huge rural inland area, all of which is reliant on the hospitality industry that is part of the tourism we so enjoy. Five million visitors come to Bridlington alone every year, all of whom enjoy hospitality of some sort in the pubs and the cafés, with the fish and chips and the ice creams. All of these businesses are under serious pressure. We have heard about the 84,000 job losses across the sector nationally, and the pressures felt by individual businesses from the rise in national insurance contributions, the Employment Rights Bill and other measures taken by the Chancellor in her first Budget.

One particular area on which I want to concentrate—it was raised by the right hon. Member for Orkney and Shetland (Mr Carmichael)—is the serious issue of VAT, particularly on the pub and restaurant sector. I was told by a local landlord of a very successful pub in my constituency that he has 500 covers a week, and still struggles to make a profit, because although he is buying food without VAT, he has to charge it to the customer. That puts a serious squeeze on his ability to achieve a profit, even though he is running a successful business. Of the 500 people who come in for a meal every week, the Government is taking the first 100 covers.

VAT is quite a hit on such businesses, and I think the Minister should make more significant representations to the Chancellor on that specific point. I know he says he is approached by every sector about VAT, but it seems to be a particularly acute problem for pubs and restaurants.

[Joe Robertson (Isle of Wight East) (Con)]

My hon. Friend referred to the Minister’s representations to the Chancellor, but I think the Minister said he was not going to make any representations to the Chancellor.

[Charlie Dewhirst]

It is not for me to say whether the Minister will or will not, but he should do so, and he should be shouting much more loudly on behalf of the hospitality sector.