One in five restaurants are at risk of closing if Vat rate rises, warns industry body

An economic report contested that the reduced rate of Vat should remain in place as the current trading environment remains volatile post-pandemic due to inflation

Hospitality Vat is expected to return to 13.5% at the start of March.  Picture: iStock

One in five restaurants are at risk of closing if the Vat rate increases, a hospitality industry body warns.

The Restaurants Association of Ireland (RAI), is making its final push for Government to extend the 9% Vat rate for hospitality, which was introduced during the pandemic and is set to return to 13.5% at the start of March.