UK Government Reduces VAT on Children's Activities from June to September

The British government announced a temporary reduction in value-added tax on children's meals and summer activities. The measure, called the "Great British Summer Savings" scheme, will run from June 25 to September 1, 2026. VAT will fall from 20 percent to 5 percent on children's menus, family tickets for cinemas, theatres, concerts, shows and exhibitions, and admission to amusement parks, fairs, museums and zoos.

The change applies in England, Wales and Northern Ireland.

Children aged five to 15 will be able to travel free on local bus services throughout August. The government estimates the full programme will cost about 300 million pounds. Prime Minister Keir Starmer said the summer holidays are a time when families make memories.

He added that many parents feel they have to hold back because of the cost of living. Chancellor Rachel Reeves said the cost of living remains the top concern for many households. She stated that the economic plan supports families and businesses while building a stronger Britain.

The announcement comes as families face rising fuel costs linked to the war in Iran. It also follows local election results earlier this month in which the Labour Party recorded significant losses.