Three Wetherspoons pubs in Milton Keynes are to cut the price of all food and drink by 7.5 per cent for a day.
They will carry out the action on Thursday September 23 and they intend it as a Tax Equality Day to highlight the benefit of a permanent VAT reduction in the hospitality industry.
The Moon Under Water in the Xscape building, Wetherspoons in Midsummer Boulevard's Bouverie Square and Captain Ridley's Shooting Party in Bletchley will sell all meals and drinks at the reduced prices.
For example, a pint of beer costing £1.99 will be reduced to £1.84 and a traditional breakfast costing £3.59 will cost £3.32 on the day.
However, the following week it will be bad news, as government VAT changes will force the Wetherspoon chain to put UP the price of all its meals by 50p.
At present all food and drink in pubs is subject to five per cent VAT as a result of the VAT cut by the
Chancellor in July 2020.
But this will change on October 1, when the VAT rate will rise to 12.5 per cent, with the aim of returning VAT to 20 per cent, in stages, in 2022.
By comparison, supermarkets pay zero VAT on food, and are able to use that saving to sell alcohol to
its customers at a discounted price.
Bletchley Wetherspoon's manager Sam Kelman said: "It is unfair that supermarkets pay zero VAT on food, but pubs and restaurants, in normal circumstances, pay 20 per cent.
"Pubs have been under fantastic pressure for decades due to the tax disadvantages it has with
"Customers on Thursday September 23 will find the price of their food and drink is lower than normal.
However, as a result of the VAT increase to 12.5 per cent on October 1, Wetherspoons will have to increase food
"Therefore, on Wednesday September 29 we will increase prices on our meals by 50p," said Sam.
"We urge the Chancellor to create tax equality between pubs and supermarkets by making the current
VAT regime for pubs permanent."