Sunak hands out sops to stimulate jobs and economy – Saudi Gazette

  • Date: 10-Jul-2020
  • Source: Saudi Gazette
  • Sector:Economy
  • Country:Saudi Arabia
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Sunak hands out sops to stimulate jobs and economy – Saudi Gazette

LONDON “” The UK Chancellor of the Exchequer Rishi Sunak announced cuts to VAT worth over £4 billion (€4.4 billion) as a lifeline for the struggling British tourism and hospitality sector, as one of the initiatives in the mini budget announced on Wednesday.

The government's latest round of targeted economic stimuli in a "protect, support, create“ jobs package includes vouchers for meals out, a 15% VAT cut on hospitality and tourism offerings, and a £1k bonus to employers who bring back furloughed employees,

It also includes an additional £1bn investment in the Department for Work and Pensions for additional hires in Job Centers, among other expenditures.

In a statement to the House of Commons on Wednesday, the Chancellor told MPs that VAT would be slashed from 20 percent to 5 percent until January, according to euronews.

Sunak announced these measures in a bid to get two of the sectors hardest hit by the COVID-19 pandemic to get back on its feet, saying he wanted to see pubs, restaurants, cafes, and B&Bs "bustling again."

The cuts will apply to food, attractions (including zoos and cinemas) and accommodation for the next six months. The cuts will be complemented by a 50% "eat out to help out“ discount