23 MEPs from the European People’s Party (EPP), socialist S&D and centrist Renew Europe groups have sent a letter to Commission’s Vice-President Valdis Dombrovskis asking him to take specific extraordinary measures to support Europe’s hospitality sector to cope with the implications of the pandemic.
>> Read EURACTIV’s Special Report: Hospitality sector: Re-connecting EU citizens after the pandemic
“Support is therefore needed perhaps even more during this delicate period of reopening than it was during the shutdown, to ensure that the hospitality sector returns in a safe and sustainable manner. Targeted indirect taxation measures and flexible liquidity schemes can play a key role in helping hospitality establishments to both cut costs and access crucial funds to compensate for lost revenues,” the MEP said.
“The EU Directives allow member states to offer a significantly reduced VAT rate in the hospitality sector on the service of food and drinks, including on the supply of products such as beer that are so dependent on hospitality. This opportunity must be exploited to the full as it targets one of the most impacted parts of the economy and sustainably supports the reopening, not just compensating for the closure. Beer sold through the hospitality sector generates far greater value for business and tax revenues for governments than alcohol sold through retail channels,” they added.
(Sarantis Michalopoulos, EURACTIV.com)