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Leading North East leisure company backs tax campaign

A LEADING North East leisure company is the first in the region to support a price reduction campaign as part of a national day of action.

Malhotra Leisure Group, which owns bars, restaurants and hotels across Tyneside, will be taking part in Tax Parity Day on September 24 – which means customers will be able to enjoy food and drink at a reduced price.

The campaign is being backed by a number of national leisure chains, calling for a five per cent cut in VAT so that restaurants, pubs and bar operators can enjoy the same tax breaks as supermarkets, which benefit from a zero VAT rating.

And now the Newcastle-based Malhotra Group has decided to support the action, by cutting VAT by 7.5 per cent on the day which will see customers being able to eat and drink at their bars and restaurants at a reduced price.

Visitors to Scalini’s and Osbornes at Osborne Road, Jesmond, Scalini’s and the main restaurant the Three Mile Inn, Gosforth ,The Market Lane, Pilgrim Street, Newcastle will all see prices slashed on September 24.

The offers will also extend to the company’s other outlets –The Duke of Northumberland pub at Clayton Street, The Butchers Arms, Byker, The Runhead Bar and Grill at Ryton and The Sandpiper at Cullercoats.

The 7.5 per cent reduction is being suggested by the campaign organisers to reflect the amount they believe prices would fall by for customers if VAT for the leisure industry was reduced by five per cent.

Atul Malhotra, Director of Malhotra Leisure, said it was only fair that hospitality operators were given the same tax breaks as the big supermarkets.

“It is time that a more equal system is put in place for anyone working in any area of the food industry,” he said. “As one of the biggest leisure companies in the North East we felt it was important to support Tax Parity Day and by putting in place this reduction are not only giving our customers a great deal but highlighting the importance of this campaign.

“We believe that if the Treasury does take this on board it can only be good for the leisure and hospitality industry and will generate growth and create jobs.”

This was posted in Bdaily's Members' News section by Sorted PR .