The current plans to introduce a & # 147; Bed Tax & # 148; The hotel and tourism industry has been widely criticized. The plan is proposed as part of a national Government tax review on local government funding and will see a 10% tax surcharge issued every night on top of the already existing 17.5% VAT.
The plan is followed by a report last year for the Association of London Government, which represents 32 villages, defining the tax as, “an ideal minority tax in that it relates to a group which imposes clear costs on authorities but does not currently share direct costs ”.
Lifestyle trends, which could increase the cost of short breaks in the UK to £ 100 for the average family. While the UK, across Europe, is second to Denmark in reducing taxation rates for tourism, the newly proposed tax puts Britain above the Danes making it the highest tax destination in EU tax, almost three times the European average.
The idea is now being conceived by Sir Michael Lyons, who is tasked with reviewing plans for the local government’s future finance, although Liberal Democrats have warned that implementing such a move would be “detrimental” for the entire £ 12bn UK tourism sector.
Liberal Democrat cultural spokesman Don Foster told the BBC, “If you think the VAT on tourist-related activities in the country is 17.5 percent, while in the rest of Europe it’s 8.5 percent and in countries like in France 5.5 percent, it’s The tourists use the services, but they are definitely paying for it. “
Industry news publisher Caterer and Hotelkeeper joined a major UK hotel, Travelodge, together with the British Hospitality Association (BHA) and Tourism Alliance (an umbrella group of 45 trade associations), to formally organize lobbying against plans. Another heavy hotel industry, Hilton, said a spokesman that the company supports BHA’s efforts.
While Travelodge has filed its own online petition, BHA’s deputy chief executive, Martin Couchman, said the organization urged its members to lobby independently, a UK hotel directory message [http://www.superbreak.com/info/saynotobedtax.htm] Superbreak agrees, in its own petition, with the ongoing campaign to lower prices.
A recent Travelodge survey of 2,000 UK consumers, revealed that 85% believe UK hotels are more expensive, a perception that will only worsen the 10% price increase. Current forecasts of the tourist industry indicate that the tax impact could result in a possible loss of up to £ 1.3bn and 32,000 jobs if the tax is introduced.
Don Foster commented, “We have a problem and anything like taxation that can stop people from coming to this country can be a real disaster.”