Overview
- The VAT on meals served in restaurants drops permanently from 19% to 7% nationwide from January 1, 2026, while beverages remain taxed at the regular rate.
- Dehoga welcomes the measure as job‑securing, but warns that many venues will use the relief to cover higher expenses rather than lower menus as personnel, energy and food costs have climbed.
- Germany’s minimum wage rises simultaneously from €12.82 to €13.90, adding to labor costs that industry leaders say constrain price reductions.
- McDonald’s reduces recommended prices for five popular menus, including the Happy Meal, three McSmart menus and the Big Mac McMenü, in some cases by more than 15%, for both dine‑in and to‑go.
- Some independents pass on savings through targeted deals, such as Saletta’s €100 vouchers sold for €85, a Fürth tavern’s food price cuts, and Dresden‑area offers including free children’s dishes and limited‑time discounts after years of sector strain and roughly 34% cumulative price increases since 2020.