UK government U-turns on pasty tax

- Last updated on GMT

The UK government has now reversed its plans to tax pasties 20% outlined in its March Budget.

Chancellor George Osborne’s Budget was announced on March 21 and included a 20% VAT on hot foods including pasties and sausage rolls.

But since the Budget announcement bakers and associations from across the countries have rallied together to protest against the tax on foods, that have ‘cooled down’ prior to sale, like pasties.

This culminated in a 500,000-strong petition against the taxes being delivered to Downing Street on April 27.

The government announced its change of heart yesterday and Osborne has now said VAT will not be charged on foods ‘designed to cool down’ such as pasties and sausage rolls.

Related topics: Regulation & Safety, Cakes & Pastries