We were really pleased to hear that Gwynedd, Conwy and Anglesey councils have decided to postpone, for the time being, the introduction of a visitor levy in their areas. This is a sensible decision, and one that reflects what our members and the wider tourism industry across North Wales have been saying for years.
North Wales Tourism has been lobbying against a tourism tax since 2017, when the then Finance Minister Mark Drakeford put forward four potential new taxes for Wales. From the outset our members have been clear, and their view has not changed. Across the consultations we have run on the subject, 83% of respondents have opposed a tourism tax. That is not a narrow margin or a vocal minority. It is the settled view of the businesses that welcome visitors to our region every day, create jobs and keep our communities alive.
It is worth remembering that visitors to the UK already pay one of the highest tourism-related taxes in Europe through VAT at 20%. Many of our European competitors apply reduced VAT rates to accommodation and hospitality precisely because they recognise tourism as a vital export industry. Here, our businesses already start at a disadvantage. It baffles me that, against that backdrop, there are still calls to add another layer of tax on top.
A levy of £1.30 per person per night may sound small in isolation, but for a family of four on a week’s holiday it quickly adds up.
For our businesses it also means extra administration, registration and reporting, at a time when many are still dealing with rising energy costs, staffing pressures and squeezed margins.
Visitors have choices, and when a break in North Wales becomes more expensive than one in the Lake District, Cornwall or overseas, some of them will choose elsewhere. The businesses who lose out are the very ones the levy is supposed to benefit.
We want to be clear that we are not against investment in our destinations. Quite the opposite. We all want clean beaches, good toilets, well-maintained footpaths and attractive town centres. But the answer is not to penalise the visitors who already bring hundreds of millions of pounds into the North Wales economy. It is to work in genuine partnership with the industry to find fair and sustainable ways of funding the visitor economy.
This postponement is welcome, but we should be realistic. It is a break for now, not a final decision, and nobody should be surprised if the tourism tax is back on the agenda after the local elections, or if Welsh Government decides to roll it out nationally.
But for now, we can recognise that our voices have been heard. We will continue to represent your views to local authorities and to Welsh Government, and we will keep making the case that North Wales should be as easy and affordable as possible to visit.
Thank you to every member who has taken the time to respond to our consultations over the years. Your voice has made a difference, and we will keep making sure it is heard.
Jim Jones, CEO, North Wales Tourism
Pic at the BBC morning show opposing the tourism tax levy.
