Overview
- The VAT on prepared food in gastronomy is now 7% nationwide, effective January 1, 2026, while most beverages remain taxed at 19%.
- A representative NIM survey finds only 13% of people expect lower menu prices, 41% foresee stable prices and 38% anticipate higher operator profits.
- Despite the tax cut, many restaurateurs and DEHOGA cite higher wage, energy and supplier costs—reinforced by the minimum wage rising to €13.90—as reasons not to pass savings through.
- Local spot checks report uneven responses: a few venues announce selective reductions or promotions, but most prioritize holding prices steady or covering cost increases.
- Parallel debates over grocery affordability continue, with calls for a voluntary low‑price 'Deutschlandkorb' and watchdog analysis questioning retailers' earlier price‑cut pledges.