Café and takeaway GP calculator (UK)
Type your ingredients and menu price. See gross profit and food cost on the price without VAT, what delivery-app commission does to it, and the price that hits your target.
Your result shows here. It updates as you type.
General information, not tax advice. Check VAT on a dish with HMRC or an accountant if you are unsure.
VAT rules checked against gov.uk on 7 November 2026. Figures are estimates for planning.
Want every dish on your menu costed for you? The Café and Takeaway Food Cost and GP Calculator workbook does it in a spreadsheet.
Why GP must use the price without VAT
The VAT in a menu price is not your money. You collect it for HMRC and pass it on, so it cannot count as profit. Gross profit (GP) is worked out on the VAT-exclusive price.
Example. A dish costs £3.00 to make and sells for £10.00 with VAT at 20%.
| Wrong: use £10.00 | Right: use £8.33 | |
|---|---|---|
| Price used | £10.00 | £8.33 |
| Ingredient cost | £3.00 | £3.00 |
| Gross profit | £7.00 | £5.33 |
| GP % | 70.0% | 64.0% |
£10.00 divided by 1.20 is £8.33. Using the full £10.00 makes the dish look 6 points better than it is. If you set a 70% target on the wrong figure, you end up under target on every sale.
Delivery apps take their commission as a share of the price the customer pays. The calculator takes your percentage off the VAT-inclusive price, which is why the GP after commission can be much lower than the GP before it.
Not sure whether VAT applies? Read VAT on takeaway food: hot, cold, eat-in.
Questions people ask
Why do I work out GP on the price without VAT?
The VAT in a menu price is collected for HMRC, not kept by you. Divide the price by 1.20 if the dish is charged VAT at 20%, then take off your ingredient cost. A £10.00 dish costing £3.00 to make has £5.33 GP on £8.33, which is 64.0%, not the 70% you get by using £10.00.
Is takeaway food VAT-free?
Not always. Per gov.uk VAT Notice 709/1, eat-in food and hot takeaway food are standard-rated at 20%. Cold takeaway food is zero-rated, unless it is a type that is always standard-rated, such as crisps, sweets and some drinks.
What GP % should I aim for?
There is no set figure; it depends on your rent, wages and menu. The calculator starts at 70% as a placeholder. Type your own target and it shows the menu price that reaches it.
How does delivery-app commission change my GP?
The calculator takes your commission rate as a share of the VAT-inclusive price the customer pays and subtracts it from your gross profit. Type the rate from your own agreement, as we do not list rates for any app.