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Should VAT be cut for pubs and restaurants?

Thousands of pubs and restaurants are dropping their prices today by 7.5% - to campaign for cuts to VAT for hospitality businesses.

Campaigners claim that a VAT cut from 20% to 5% would generate an extra £1.5 billion in tax income in just 3 years and 600,000 jobs.

But is it fair to reduce VAT for one industry sector, and not for others?

BBC Radio 5 live's Wake Up to Money spoke to Patrick Stevens, Tax Policy Director at the Chartered Institute of Taxation, and James Staughton, Chairman of the Independent Family Brewers of Britain.

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