THREE Wetherspoons pubs in the area are to cut the price of all food and drink to highlight the benefit of a permanent VAT reduction in the hospitality industry.

Prices at The Moon Under Water in High Street, Cradley Heath, The Britannia in Halesowen Street, Rowley Regis and The William Shenstone in Queensway, Halesowen will be reduced by 7.5 per cent for one day only on Thursday September 14 to mark Tax Equality Day in the Wetherspoon pubs.

So, for example, a customer spending £10 on food and drink will pay £9.25 on Tax Equality Day.

All food and drink in pubs is subject to 20 per cent VAT.

By comparison, supermarkets pay zero VAT on food, and are able to use that saving to sell alcohol to customers at a discounted price.

The Moon Under Water manager, Nichola Holloway, said: "Customers coming to The Moon Under Water on Thursday September 14 will find the price of their food and drink is lower than normal.

"It is unfair that supermarkets pay zero VAT on food, but pubs pay 20 per cent.

"Pubs have been under fantastic pressure for decades due to the tax disadvantages it has with supermarkets.

"The tax benefit allows supermarkets to subsidise the selling price of beer.

"It doesn't make sense for the hospitality industry to subsidise supermarkets.

"We urge the Chancellor to create tax equality between pubs and supermarkets."

Wetherspoons is slashing prices on the day at all its pubs.