We have increased the number of system VAT codes in order to support the introduction of the 12.5% temporary reduced rate for hospitality, holiday accomodation and attractions businesses. For more information see How do I edit VAT rates? for how to add a new VAT rate to your system. We suggest you retain the 4 rates already in place and use the additional rates, added as part of the above update, to allow you to introduce the 12.5% VAT rate.