A WINCHESTER pub is to cut the price of all food and drink by 7.5 per cent on Thursday.

The Old Gaol House, Jewry Street, is supporting a national Tax Equality Day, aimed at highlighting the benefit of VAT reduction in the hospitality industry.

Prices at the Wetherspoon pub will be reduced for one day only.

For example, the total price of a meal and drinks for an individual will be reduced from £10 to £9.25 on Tax Equality Day.

At present all food and drink in pubs is subject to 20 per cent VAT, compared to supermarkets which benefit from a zero VAT rate on all food.

As a result, supermarkets are able to use that saving to sell alcohol at a discounted price.

The pub’s manager, Hannah Barrett, said: “We are proud to support the campaign to reduce the level of VAT within the pub industry.

“Customers coming to the pub on Thursday September 13 will find the price of their food and drink is lower than normal. We are keen to highlight the amount customers could save if VAT in pubs was lowered permanently.”