As of 1st July 2009, VAT on all restaurants and cafes in France has been cut from 19.6 per cent to 5.5 per cent, a huge reduction leading to big savings for consumers. This translates into a saving of approximately 10 per cent when passed onto customers, meaning a meal typically costing €15 (£13) will be reduced to around €13.20 (£11.40).
The move aims to boost consumer spending in the busy summer period throughout France and attract more visitors on Paris breaks from the UK, offsetting the slightly weaker Pound Sterling against the Euro.