UK holiday deals for this summer – after Chancellor keeps VAT break on holidays and meals


CHANCELLOR Rishi Sunak has announced that he is extending the VAT cut on the hospitality and tourism sectors as part of the spring Budget 2021.

The news is great for Brits planning a staycation this summer, as it paves the way for cheaper holidays and meals out.

The extension of the VAT rate could mean cheaper UK holidays this summer, if businesses pass on the savings

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The extension of the VAT rate could mean cheaper UK holidays this summer, if businesses pass on the savingsCredit: Haven

The Chancellor confirmed the detail in his Budget this afternoon, the 5% reduced rate of VAT to be extended for six months to 30th September.

And the standard rate won’t be returned to until April next year, with an interim rate of 12.5% for another six months after September.

In terms of holidays, the saving could cut £300 off a one-week family staycation.

If you haven’t booked your summer break yet and are tempted by a staycation thanks to the VAT cut, there are a number of cheap deals still around.


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Chancellor Rishi Sunak has announced support for the tourism and hospitality sector as part of the spring Budget

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Chancellor Rishi Sunak has announced support for the tourism and hospitality sector as part of the spring BudgetCredit: AFP or licensors

The extension will be a boost to the tourism and hospitality industries, which have been hit hardest by the coronavirus lockdowns.

Some of the businesses where VAT will be cut include restaurants, cafes and pubs, hotels, holiday and caravan parks.

However, it’s worth bearing in mind that businesses don’t have to pass on the tax break to shoppers.

Self-catered holidays are welcoming guests back again from April 12, which includes sites such as caravan parks, but only with one household sharing a property.

From May 17, groups of up to six people from different households or unlimited numbers of people from two households can share a holiday let together.

From June 21, there will be no restrictions on group sizes for holidays.

It’s worth noting though, that the dates for coming out of lockdown are not set in stone.

Holidays will only happen on the condition that coronavirus cases continue to fall and vaccines still roll out at pace. 

If you’re looking for more staycation inspiration, we’ve found the best UK holiday parks with children’s entertainment and the best holiday parks with outdoor pools and campsites with availability for summer.

There are also great UK coach trips for families, holiday park party weekenders, cheap staycation breaks with hot tubs and treehouse stays.


This article and any featured products have been independently chosen by The Sun journalists. All recommendations within the article are informed by expert editorial opinion. If you click a link and buy a product we may earn revenue: this helps to support The Sun, and in no way affects our recommendations.






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