Kids’ meals drive summer family value
Some fast-food and value-led offers sit below £3.
Children's meal promotions are becoming a key strategy for UK restaurant operators seeking to drive traffic as value-conscious families become more selective about dining out, a report by Meaningful Vision said.
This comes following the government's Great British Summer Savings scheme, where value added tax (VAT) on qualifying children’s meals was reduced from 20% to 5% from 25 June to 1 September 2026.
A £6 children’s meal may cost just £5.25 during summer if restaurants pass on the VAT saving in full. The average kids’ meal now costs £5.05 in fast-food and £7.55 in restaurants and pubs.
The pricing spread on kids' meals is wide. Some fast-food and value-led offers sit below £3. Mainstream pub and casual dining children’s meals are more often around £5 to £7, particularly where operators have passed on the VAT saving, the report said.
Not all fast-food places offer kids' meals. Coffee shops and bakeries rarely have dedicated offers for children. Amongst other fast-food chains, 42% have kids’ meals or offers. In restaurants and pubs, the share rises to 63%.
“The UK foodservice industry is still under pressure. Consumers are eating out less often, whilst food and labour costs continue to rise. The temporary VAT cut is unlikely to solve those problems, but it has given operators a reason to talk about value. Some brands are passing the savings directly to customers, some are using ‘kids eat free’ promotions to drive adult visits, and others are connecting the offer to apps and loyalty. The kids’ menu continues to be a traffic tool, as well as a children’s meal,” Maria Vanifatova, CEO of Meaningful Vision, said.
Meaningful Vision said some operators are making direct price reductions. Nando’s and Wetherspoon have temporarily reduced children’s meal prices by 12.5%, broadly in line with the VAT change.
Others are using a stronger headline price. McDonald’s is offering Happy Meals for £2.99 this summer, 27% below the fast-food kids’ meal average. The offer is available only in the app, turning a kids’ meal discount into a loyalty, repeat visit and customer data play.
Similar pass-through mechanics have also been seen amongst other large operators. Around 15% of casual dining restaurants and pubs are applying a price cut broadly in line with the VAT reduction, where a move from 20% to 5% VAT produces a consumer price saving of roughly 12.5% if the underlying net price is unchanged.
But the most common mechanic in restaurants and pubs remains “kids eat free‘. Around 30% are using this type of offer during the summer, usually linked to an adult purchase or a specific occasion such as breakfast. ASK Italian, Bella Italia, Zizzi, Bill’s and YO! are amongst the brands using this approach. ‘Kids eat for £1’ is less common, used by around 5% of restaurants.
For families, the most visible benefit comes from brands that make the saving simple: £2.99 Happy Meals, ‘kids eat free’ with an adult main meal, ‘kids eat for £1’ or clearly reduced children’s menu prices.
The VAT cut ends in September, yet the trading behaviour it has highlighted is likely to continue. Family dining is becoming more price sensitive, more promotional and more loyalty-led.
For restaurants, the key question is no longer whether to offer a kids’ deal. It is how to design one that drives traffic, supports margin and builds a longer-term customer relationship.
