STIRLING'S MP has written to chancellor Philip Hammond, urging him to reconsider VAT relief for the hospitality industry.

The move comes after Scottish Government finance secretary Derek Mackay announced support for pubs, restaurants and hotels by capping business rate increases to 12.5 per cent.

SNP representative Mr Paterson initially wrote to the chancellor last year following a consultation with local businesses.

The vast majority of respondents voiced that a reduction in VAT would encourage economic growth and create jobs in the sector.

MP Paterson said: “After a large number of responses to my consultation last year, it is clear that a reduction in VAT for hospitality-related trade would have a significant impact on growth and job creation.

“After yesterday’s announcement from the Scottish Government finance secretary Derek Mackay of support for this sector, it is time that the UK Government stepped up to the mark and listened to businesses - like those in my constituency – who would greatly benefit from VAT relief.

“Hospitality is an industry sector that is highly responsive to changing economic climates, causing frequent periods of volatility.

“Alleviating the VAT burden from these businesses would be a real shot in the arm for those facing an often challenging marketplace.

“With the commitment of both the Scottish and UK Governments to deliver a City Region Deal for the Stirling and Clackmannanshire area, now is the time to ensure that the area is an attractive place for investment and with a strong and well supported economic climate.”