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London tourism industry opposes ‘bed tax’
A majority of London’s visitor industry would be against a ‘bed tax’ as proposed in Sir Michael Lyons’ inquiry into local government.
According to the first survey on the issue as carried out by Visit London, 92% were ‘completely opposed’ to the proposed tax.
Sixty five per cent claimed the move would cause a ‘major down-turn’ in the level of their business (of more than 5% of turnover) – while 30% thought it would lead to a decrease of between 1-5%
The poll canvassed the opinions of tourism businesses in London on the potential impact of a bed tax, which could add 5-10 % to a visitor’s accommodation bill:
Visit London public affairs manager Craig Beaumont said: “As the proposal currently stands, a blanket bed tax would not be of benefit to visitors, or the businesses that rely on them.
“Revenues from the tax would not be ring-fenced for tourism spending so how would we know that any money raised would be ploughed back into supporting the industry?”
The suggested Lyons tax on tourist accommodation is floated alongside a number of other proposals in the inquiry. The Lyons Inquiry will report to ministers by the end of the year, who will then decide whether to take forward some or all of the proposals.
A Lyons Inquiry Conference is taking place today, where this issue will be highlighted.
Report by Phil Davies
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