Pembrokeshire County Council has confirmed that it does not intend on introducing a ‘tourism tax’ for the region at this point in time.
Plans to bring in a visitor levy for Wales have cleared the first hurdle in the Senedd, with the Welsh Government set to raise the rate to £1.30 per night per person.
Senedd members voted in favour of the tourism tax bill following a debate on 1 April 1 during which ministers announced plans to raise the rates to create an exemption for children.
If the bill completes its passage through the Welsh Parliament, £1.30 per person before VAT could be charged on overnight stays in hotels, B&Bs and self-catering accommodation.
A lower rate of 80p would apply to hostels and campsites, with the 22 Welsh councils given powers to decide whether to introduce a local levy from 2027 at the earliest.
An estimated £264m would be raised if all councils chose to introduce the levy in the decade to 2035, against total costs of £313m to £576m, according to an impact assessment.
Mark Drakeford led the “stage-one” debate on the general principles of the bill, which would also establish a mandatory register of visitor accommodation providers.
Pointing out that visitor levies are common across the world, the finance secretary stressed councils would have an option rather than an obligation to bring in a levy.
The former first minister argued the levy will be simple, straightforward and fair, with lower rates than in comparable destinations.
Today (April 2) Pembrokeshire County Council’s Deputy Leader and Cabinet Member for Place, the Region and Climate Change, Cllr Paul Miller stated that it was not the Local Authority’s intention to introduce a visitor levy for the time being.
“We provide a fantastic tourism offer here in Pembrokeshire and it is an important part of the county’s economy,” said Cllr Miller
“In addition to jobs, this administration’s approach is also about the year-round facilities and attractions that benefit local people too.
“We recognise the tourism landscape has experienced significant change, be that second homes legislation, tax changes and we’re aiming to provide some certainty to the industry.
“We acknowledge it's important to recognise there's balance to be struck between supporting the industry and dealing with some of the challenges associated with peaks in season.
“Therefore, I’m confirming it's not our intention to take forward the option of a visitor levy in Pembrokeshire during this administration.
“Like the hospitality and attraction sector across Pembrokeshire’s amazing tourism offer, I am looking forward to a great summer season for the industry,” added Cllr Miller.
“Pembrokeshire's tourism offer is fantastic, but it is still feeling the impact post-Covid, the impact of a weak economy and other policies which have added pressure to the industry,” he remarked.
“In 2022, there were 6.6 million visitors to Pembrokeshire, with an economic value to the county totalling £594 million.
“I want to see that grow, as a successful tourism industry helps support the shops, pubs, restaurants and attractions that we love to use as locals.”