Cutting the cost of employing young people is essential if we want to tackle the NEETs crisis - the tax on entry level part time jobs increased by 75% in April 2025
“Local mayors are going to pull that lever until it snaps.”
@Allen_m_Simpson, our Chief Executive, spoke to @BBCRadio4 about the danger of giving local mayors an uncapped tax-raising power to implement a holiday tax.
Yes the drop of 18% in coastal breaks is extremely worrying for those communities, and for the small businesses like B&Bs who are integral to those coastal (and rural) communities, bringing guest spend to every postcode
Good to see politicians from all sides recognising the fundamental flaws in implementing an uncapped holiday tax - and welcome the pledge from @RobertJenrick that not only will Reform mayors not introduce one locally but that they would scrap it nationally.
At a time when both the public and businesses are already facing substantial cost pressures, the Government should be focused on measures that encourage tourism and investment, and reduce hospitality’s tax burden closer, not add more cost.
Yesterday, I spoke to @mattbaileymedia on BBC Newcastle about why I, and most hospitality business owners in South Shields, are opposed to the proposed visitor levy.
You can listen to my full interview here [01:45:00 onwards]: https://t.co/lBXzLxUN69
@UKHofficial
I stood up in the Commons to say what needs to be said about the overnight visitor levy:
This is a holiday tax. It will hit hospitality jobs and hard working families.
The Government needs to scrap it.
This Labour Government is introducing a holiday tax.
But if you tax tourism, you will get less tourism. And that will cost jobs.
And make no mistake, this is not just a tax on foreign visitors. It’s also a tax on Brits.
Not satisfied with already whacking up taxes on pretty much everything else, Labour have now decided to bring in a whole new tax on your holidays.
Sign the petition today to #StopTheTourismTax
https://t.co/MfkPJHdh3w
🍽️ UKHospitality is urging Labour mayors to back a 10% VAT rate for hospitality before introducing any overnight visitor levy.
The trade body argues that hotels, pubs, restaurants and other hospitality businesses are already facing significant cost pressures — and that reducing VAT would give the sector breathing space, support jobs and strengthen local economies.
Its message to Labour mayors is clear: back hospitality first, then consider new local levies.
Read more 👇
https://t.co/MMrg6dfrOe
@allen_m_simpson@UKHofficial@UKHospKate
@andyjlennox 5% levy is a 27.2% combined sales tax. A room where the hotel charges £100 then has VAT at 20%. The levy + VAT is then charged on the £120. So at 5% (6% Inc VAT) you now pay a total of £127.20
Kemi Badenoch is right, this tourism tax will damage staycations and punish British people. The tax will put many off visiting areas and staying overnight, that will then impact the pubs and restaurants.
With Labour, it’s all tax, tax, tax.
Labour's new tax is not a foreign tourist tax. It's a holiday tax that will be charged overwhelmingly on British people. The vast majority of visitors are British - at least 80%. Brits took over 89m overnight trips in England in 2024 & stayed for a total of 255m nights. UKHospitality estimates the tourist tax will cost the British public up to £518m.
A 5% overnight levy such as that planned by Labour mayors would take the combined tax on hotel rooms to 27%. That's hugely unfair & uncompetitive compared to other European countries where the average VAT rate on hotel rooms is 9.7%.
1/4
The lack of understanding of why the Tourist Tax is a really bad idea illustrates how little understanding many people have of our dire economic situation, and our Government is taking advantage of that.
No to the Hospitality Tax!
Visiting your family in Cheshire? Staying here because of work? Wanting to visit one of our tremendous attractions?
The Hospitality Tax means fewer visits, lower spend and lost jobs. Not on my watch.