The UK Government has said that all diners who eat out on certain days in August will get up to 50% of the price of their bill, per person, knocked off.
Chancellor Rishi Sunak made the announcement in the House of Commons this afternoon, declaring that the scheme will see diners getting up to £10 per person off their meal every time they visit a pub, restaurant, or any other eatery next month.
The Chancellor explained that the offer will only be available for those that eat on Mondays, Tuesdays, and Wednesdays, however.
Reports circulated that Mr Sunak was considering offering every adult in the UK a £500 voucher, and children £250.
But Mr Sunak instead decided to drop the plans for the “Eat Out to Help Out Scheme”.
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VAT rates slashed
The eat-out scheme comes as part of wider plans to boost the economy in the UK as the nation continues to be hit by the current pandemic.
The Chancellor also announced that he would slash the rates of VAT for most tourism and hospitality businesses from 20% to 5% in an attempt to encourage spending.
And Mr Sunak also announced a ‘jobs retention bonus’ which would see employers earn £1,000 for every worker they keep on after the furlough scheme ends.
“It is in no-one’s long term interests for the scheme to continue forever”
The employers will have to keep their staff on until January to earn the bonus, and will only apply if they have paid them £520 a month or more
Speaking to the Commons, Mr Sunak said: “Leaving the furlough scheme open forever gives people false hope that it will always be possible to return to the jobs they had before.
“It is in no-one’s long term interests for the scheme to continue forever – least of all those trapped in a job that can only exist because of Government subsidy.”
Kickstart scheme for 16 to 24-year-olds
The UK government will also pay 100% of the wages of 16 to 24-year-olds, up to 25 hours a week, in what was described as a kickstart scheme by the Chancellor.
And the scheme will even pay any overhead costs that are incurred by business owners hiring young people.
“The kickstart scheme will directly pay employers to create new jobs for any 16 to 24-year-old at risk of long-term unemployment,” Mr Sunak continued.
“These will be decent jobs – with a minimum of 25 hours per week paid at least the national minimum wage.
“If employers meet those conditions, we will pay young people’s wages for six months, plus an amount to cover overheads.”