Great Summer Savings Scheme means Brits benefit from £300m package | Personal Finance | Finance
The scheme aims to cut VAT from 20% to 5% on selected activities (Image: Getty)
The government-funded Great Summer Savings Scheme means that British families can benefit from lots of reduced days out, with VAT slashed on numerous activities. The scheme is estimated to cost around £300m with the aim of cutting costs for family weekend plans and days out.
Great British Summer Savings is a temporary scheme which begins on June 25 and continues until September 1. The scheme aims to reduce family costs with money off things like children’s meals in restaurants, children’s tickets for theatres and cinemas and tickets for everyone for attractions like soft play, adventure centres, and theme parks. The Government will work with eligible businesses to run the scheme.
Prime Minister Keir Starmer hopes the scheme means ‘families can afford more time together’ (Image: Getty)
The scheme aims to cut VAT from 20% to 5% on the selected activities and explains exactly how much families could save if businesses choose to pass through the full benefit.
The potential total VAT savings for a family of two adults and two children would include £20 off the family’s tickets to a theme park, £17 off the family’s tickets to a wildlife park or £11 off the family’s tickets to the aquarium.
The scheme could also result in £9 off the family’s tickets to the circus, £6 off the family’s tickets to a farm attraction or £2 off entry to soft play.
For the children’s meals on a lunch out, the total saving predicted is £2, while for the cinema, a family of four could save £1.50.
The government expects qualifying businesses to pass the temporary VAT savings directly to families by lowering prices at the till for eligible children’s meals, cinema and theatre tickets, and family attractions.
They have also broken down exactly how the reduced rate will work in practice for the eligible activities.
For children’s meals savings, this applies to consumption on the premises from a dedicated children’s menu and marketed, presented and priced as such.
Savings for cinemas, theatres, exhibitions, concerts and shows only apply to children’s and family tickets.
For most activities such as amusement parks, circuses, adventure parks, museums and others, customers may get reduced rates on admission tickets, including adult ones.
Sports facilities are not included, and season tickets do not apply if they permit customers to use them outside of the 25 June to 1 September period. If the ticket is priced the same as a standard single-entry ticket or the ticket is for repeat entry solely within the relief period, then the ticket should qualify for the discount.
Throughout August, in a further boost for households, children between the ages of five and 15 in England will also be able to travel free on local bus services.
Prime Minister Keir Starmer said: “When I think about the summer holidays, I think about the Lake District — where I went as a child and later made memories with my own family.”
He added: “I know how precious that time is, yet too many parents feel they have to hold back because the cost of living is still squeezing budgets.
“This summer we’re cutting the cost of a day out together – free bus travel for children aged five to 15 in England, and VAT slashed on a wide range of kids’ attractions – so families can afford more time together.”
Rachel Reeves, Chancellor of the Exchequer, also commented on the introduction of the scheme.
She said: “Whether it is a fun day out, a family meal or taking advantage of the thousands of amazing attractions across the UK, Great British Summer Savings will support families with the little treats in life while boosting business across the UK.
“This comes on top of support we’ve already put in place, including freezing fuel duty, taking £117 off energy bills, freezing prescriptions, fuel duty and rail fares.”
She added: “We are able do this because we have made the right choices, resulting in the UK having the fastest growing economy in the G7, with inflation going down.
“I know the cost of living is still a number one concern for households. Our economic plan is the right one, supporting families and businesses and building a stronger and more secure Britain.”
