Ashley Fox MP has condemned plans to give local mayors and authorities the power to impose a Holiday tax, known as an overnight visitor levy, warning that it could damage tourism businesses and increase the cost of family holidays.
The proposed levy would add a percentage charge to stays in hotels, bed and breakfasts, holiday lets and other visitor accommodation.
Ashley Fox said the policy could have a particularly damaging impact on coastal communities such as Burnham-on-Sea, Berrow and Brean, where many businesses and local jobs depend upon visitors.
He has previously spoken out against the proposed holiday tax and met tourism businesses in the constituency to hear directly about the pressures facing the sector.
Tourism businesses are already dealing with higher employment costs, energy bills and other overheads, while families continue to face pressure on household budgets. Ashley Fox warned that another charge could make domestic holidays less affordable and leave visitors with less money to spend in local shops, cafés, pubs and attractions.
Ashley Fox said:
“I have spoken out against this holiday tax before, and I remain firmly opposed to it.
Burnham-on-Sea, Berrow and Brean have thriving visitor economies which support thousands of jobs and businesses across our constituency. These communities should be backed by the Government, not put at risk by another tax.
Hard-working families should not be charged extra for enjoying a holiday in their own county or their own country. Domestic holidays are already expensive enough, and this levy would leave visitors with less money to spend in the local businesses that rely upon them.
The Government should abandon this policy and focus on supporting our coastal communities, making Britain more competitive and helping more families enjoy holidays here at home.”
The announcement also has implications for Somerset because the county is working with Dorset, Wiltshire and Bournemouth, Christchurch and Poole councils towards the creation of a Wessex Mayoral Strategic Authority. Under the Government’s proposals, such authorities could be given the power to introduce a holiday tax across the area.
Ashley Fox is calling on Somerset Council and those involved in developing the Wessex Mayoral Strategic Authority to rule out supporting or introducing any holiday tax affecting Somerset.
He added:
“Liberal Democrats in Bath and Bristol have already said how delighted they are that this tax is being introduced. No doubt Somerset’s Liberal Democrats, who are busy lobbying for a new Wessex Mayoral Strategic Authority, feel the same. It’s just they are a tad reluctant to say so ahead of May’s elections.
They should make it clear now that they will not use any new devolved powers to impose a holiday tax on people holidaying Somerset.”