Opposition grows over plans for 'tourist tax' in England

Opposition grows over plans for 'tourist tax' in England
Source: Daily Mail Online

Further backlash against 'tourist tax' being introduced in England has been voiced, this time by a trade association for tour operators and travel agents in the United Kingdom.

Abta has raised concerns over the proposals after the government's consultation ended last week.

The association highlighted how the planned charge could negatively impact the tourism industry across the country - which is already struggling with 'rising costs, increased taxation and wider regulatory pressures'.

Luke Petherbridge, Abta director of public affairs, explained how additional fees could cause issues for the industry.

'We have sent a robust response to the Government's proposal for the introduction of an overnight visitor levy in England.
'Domestic and inbound tourism are worth more than £97 billion annually to the economy in England.
'We've long expressed concern with the cumulative impact of taxes and charges on UK travel and tourism, which is already uncompetitive on cost grounds.
'Adding further taxes to visitors who support vital economic activity across the country is short-sighted, and risks turning people off holidays in the areas imposing these charges.'

Today, February 24, Abta has raised concerns over the proposals after the government's consultation on tourism tax in England ended last week.

Abta argues the UK ranks 113 out of 119 countries for price competitiveness by the World Economic Forum.

It urges for local mayors to plough a proportion of the earnings from the tax back into local tourism.

The association has also pushed against the proposed percentage-based model, arguing it would be 'overly complex and administratively burdensome compared to a flat-rate charge'.

Other organisations, including the Business Travel Association (BTA) have also raised concerns.

Andrew Clarke, commercial director of the BTA, commented: 'The BTA's core position is clear: an overnight visitor levy should apply solely to discretionary tourism activity and should not apply to business travel undertaken for and on behalf of work.
'Business travellers are not tourists. Their travel is non-discretionary, economically productive, and directly linked to employment, investment, skills development, and regional growth.
'Applying a levy designed as a 'tourist tax' to business travel risks creating a de facto tax on UK businesses, productivity, and inward investment.'

Earlier this month it was revealed at least £14billion would be lost from the UK economy if daily tourist taxes are introduced.

The World Travel & Tourism Council (WTTC) has published new research highlighting the damage that would be done to the UK economy if new visitor levies are introduced.

Billions of pounds would 'be wiped from the economy' as international visitor numbers would dry up as a result, it concluded. The domino effect would lead to tens of thousands of job losses.

The research also shows that many Brits would consider a holiday somewhere else if such a visitor tax were introduced.

Of those surveyed in the largest visitor markets to the UK - from the USA, France and Germany - 29 per cent would consider alternative destinations or decide not to visit the UK if a tax of €10 (£9) was introduced.

A substantial drop in visitors to the UK would have a fundamental impact on the economy.