Horeca: hotel VAT 6→12% (1 March), record bankruptcies, 5,631 jobs lost

Hotel VAT: federal increase on 1 March 2026

The federal government has decided to raise the VAT on hotel stays from 6% to 12% effective 1 March 2026. The Brussels Hotels Association estimates the impact at approximately +EUR 8.50 on a EUR 150 room night and denounces a "cocktail of taxes in 2026".

Implementation complications

The transition poses practical problems documented by the press:

• Hotels will have to manage two VAT rates simultaneously on the same day (bookings made before/after 28 February)
• Breakfast follows the room rate — two guests at the same table may be subject to different rates
• Transitional measure: bookings made before 28 February 2026 can benefit from the 6% rate, provided payment is made before 30 June 2026
• The detailed ministerial decree had not yet been published by late February 2026, leaving "grey areas"
• Hotel IT systems must be updated urgently

In parallel, the VAT on soft drinks served in hospitality drops from 21% to 12%, a partial relief for the restaurant sector. The planned reform of the takeaway food VAT was cancelled by the kern in February 2026.

Sources: DH, "the VAT puzzle continues for hotels" (20 Feb. 2026); Horeca Brussels (Feb. 2026); RTBF (Feb. 2026).

Record bankruptcies in 2025

The year 2025 was marked by a record number of bankruptcies in Brussels and in the horeca sector:

• 2,184 bankruptcies in Brussels in 2025 — the highest level in 6 years, +13.6% compared to 2024
• 5,631 horeca jobs lost nationally in 2025 — +13.8% compared to the previous record (2016: 4,949)
• Horeca accounts for 6% of SMEs in Brussels but concentrates 17% of bankruptcies — an overrepresentation by a factor of 3
• Cumulative factors: rising costs, changing consumption habits, 613-day political crisis (2024–2026)

Source: BX1, "bankruptcies and closures: why 2025 was tough for Brussels horeca" (2026).

Regional government agreement: announced impacts

The agreement of 12 February 2026 includes several measures that impact the horeca sector:

• New mobility plan succeeding Good Move: the revision of traffic arrangements and pedestrian zones will directly affect the accessibility of horeca establishments and operating conditions for terraces
• LEZ retained with annual pass (EUR 350, social rate EUR 200): non-compliant delivery vehicles will be able to circulate legally at a predictable annual cost, instead of fines per infringement
• Stricter activation of jobseekers and a 70% employment target: in a sector that struggles to recruit, the strengthening of Actiris could improve matching between vacancies and jobseekers
• Reinforced bilingualism: the heightened bilingualism ambition benefits a service sector where proficiency in Dutch is an asset for the institutional and European clientele

Point of attention: the end of the caretaker period makes it possible to unblock seasonal employment subsidies, terrace permits and regional tourism policy. The revision of Good Move will be closely monitored by horeca operators located in neighbourhoods already redesigned under the plan.