A Worcester pub is set to cut the price of all food and drink items.

The Crown in Crown Passage will slash prices by 7.5 per cent for one day only on Thursday, September 12, for Tax Equality Day.

The Wetherspoon pub has made the cut in efforts to show customers the benefits of a potential permanent VAT reduction in the hospitality sector.

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For instance, a customer spending £10 on food and drink will pay £9.25 on Tax Equality Day.

Presently, all items in pubs face a 20 per cent VAT, while supermarkets pay none on food.

This discrepancy allows supermarkets to sell alcohol at lower prices.

The pub's manager, Richard Pugh, said: "Customers coming to The Crown on Thursday, September 12 will find the price of their food and drink is lower than normal.

"It’s unfair that supermarkets pay zero VAT on food, but pubs pay 20 per cent.

"Pubs have been under fantastic pressure for decades due to the tax disadvantages it has with supermarkets.

"The tax benefit allows supermarkets to subsidise the selling price of beer."

He added: "It doesn't make sense for the hospitality industry to subsidise supermarkets.

"We urge the Chancellor to create tax equality between pubs and supermarkets."