THE founder of a group representing hundreds of hospitality businesses across the Bournemouth conurbation has welcomed the Chancellor's extension of the reduced rate VAT.

Andy Lennox, founder of the Wonky Table network, launched a petition in February to keep VAT at five per cent – which is exactly what Rishi Sunak has done in today's Budget.

"Today’s Budget announcement is one of the most important statements in history for the hospitality industry," said Mr Lennox. "We’re standing here with shattered balance sheets, heavily in debt, with little to no cash reserves.

"Ultimately, it will be our industry that will help spearhead the recovery of the nation, which is why we’re delighted that the VAT at 5 per cent has been extended until September 30, albeit ramping up to 12.5 per cent for another six months after that – something which we’ve been strongly lobbying the Government for alongside UKHospitality for some time.

"This is an essential lifeline for the hospitality industry’s recovery, helping to keep inflation and costs down – and is perhaps the single biggest Covid-19 relief measure."

Mr Lennox has also praised the Chancellor's new ‘restart grants’ of up to £18,000 to help hospitality businesses get back on their feet.

But the restaurateur says that after delays in previous grants being put into the hands of business owners, it’s "vital that grant funding is made available as quickly as possible."

Mr Lennox said: “Finally, although the extension to the furlough scheme is welcome, the fact that it’s been scheduled until the end of September implies the Government is expecting some bumps along the road to recovery – this is very worrying.”