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BHA welcomes u-turn over bed tax
The British Hospitality Association has welcomed the Government’s decision not to proceed with the introduction of a bed tax.
The Government made its decision despite earlier recommendations by the Lyons Inquiry that government should consult on the costs and benefits of giving local authorities the power to levy taxes on tourism, including a possible tax on accommodation.
But yesterday (Wednesday) local government minister, Phil Woolas MP, said that while the Inquiry had put the case for consultation “we are not . . . inclined to focus on this area. The government does not intend to introduce a tourism tax”.
BHA chief executive Bob Cotton said: “This is an historic victory for common sense.
“For the last three years, we have consistently pointed out the difficulties of introducing a bed tax and emphasised how damaging it would be to the UK tourism economy. We are delighted that common sense has prevailed.”
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