After several years of buildup, the legislation enabling the implementation of a tourism tax will be put forward to the Senedd.
Rest assured that my colleagues and I will oppose this next round of anti-business legislation coming from a Labour Government.
1 in 7 jobs in Wales relies on the tourism industry which equates to almost 200,000 people. Cleary this is an industry that must be supported, not seen as a cash cow.
The hospitality and tourism sector has faced incredible adversary over the last 5 years, with lockdowns and the impact of global inflation.
To make matters worse, there has been little support from the Welsh Government with hospitality businesses in Wales paying almost twice as much in business rates as their counterparts in England.
At a time where families across the United Kingdom are facing pressures on their finances, the last thing the government should be doing is making a trip to Wales more expensive.
Sadly, Labour Ministers have a history of damaging policies on the sector.
Labour’s 182-day rule on furnished holiday lets meant that self-catering businesses are liable to pay council tax rather than business rates, a move which has greatly troubled the sector.
Many of these are small businesses operated by families, with many just being a small annex on the side of their home.
Another concern, I have on the introduction of the proposed tourism tax is the pressure it may put on local authorities who will be responsible for its implementation.
Our councils are facing £560 million worth of pressures which are not adequately being addressed by the local government settlement.
This could lead to a situation where they are expected to make up for this deficit through raising this tax when it may not be in the best interest of the local economy.
This is something we have seen before with council taxes. Unfortunately, the Labour Government in Cardiff Bay have been too happy to shortchange local councils with the knowledge that these cuts will be raised through large increases in council tax.
I firmly believe in scrapping this tourism tax and will scrutinise and amend this legislation.
When push comes to shove, it will be down to councils to implement this tax so I hope that Monmouthshire Council will listen to tourism businesses and not bring this in, ensuring that our beautiful country is inviting and accessible to everyone.
Peter Fox MS - Monmouth
