Reynders: ‘Hospitality services prices will not fall’
Finance Minister Didier Reynders announced that prices in hotels, restaurants and cafes will not fall, despite the new 12% VAT.
The lowering of VAT from 21 to 12% will not affect prices throughout the majority of the hospitality sector, Reynders confirmed in an interview with the Echo and La Dernière Heure.
“The sector was ready to enter talks on prices if the VAT was lowered to 6%. We have opted for 12%, thus there are margins for jobs and investments. The sector will benefit from the creation of 18,000 new jobs,” said Mr Reynders.
“If, in the course of a year, half of the promised jobs are created, one might say that the new system is proving to be highly profitable and we will look at lowering VAT to 6%,” he added.