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British Tourism Already Overtaxed say Lib Dems
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15th January 2004
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Liberal Democrat Tourism Spokesman Adrian Sanders MP has blasted the Local Government Association’s proposal of a Tourism Tax as “ludicrous”, and claims that British tourists are already overtaxed on domestic holidays.
Mr. Sanders' research shows that a holidaymaker travelling from Thurso to Torbay already pays over £60 in fuel duty for a journey, before he sets foot in the resort and then another £60 on the return journey.
Adrian said: “It is ludicrous that domestic tourists will be expected to pay even more tax. A tourist travelling from Scotland to the West Country, or vice versa, will pay over £180 in petrol on a return journey to his hotel. Over £120 of this petrol price is made up of fuel duty and VAT. Add to this the above European average rate of VAT that he will pay on his accommodation, and the domestic holiday becomes extremely expensive. Further tax will be paid in uniform business rates that will be part of the tariff on accommodation and included in entrance fees to tourist attractions.
“In comparison, someone wished to travel from Torbay to Torremelinos via Exeter Airport, their tax bill would be cut dramatically, as they will pay only a £10 airport charge and £4.08 in fuel duty on a £5.34 fuel bill.
“The LGA’s proposals for a tourist tax will simply increase the cost of holidaying in the UK. This will lead to a loss of jobs in Britain’s fourth biggest industry.
“This is not a sensible idea either for tourism, or as an alternative to the Council Tax where the only logical reform is to replace it with a local income tax based on ability to pay.”
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Adrian Sanders