The Wales Tourism Alliance has hit out at the Welsh Government’s proposed Visitor Levy Bill - stating that it is not a ‘Tourist Tax – it is a Visitor Levy’ - that will affect us all in Wales - from children on overnight school trips to people who have to stay in accommodation overnight before early morning NHS admissions.

The Wales Tourism Alliance submitted its response to the Welsh Government’s Visitor Levy Bill in papers on January 10 to both the Finance and the Legislation, Justice and Constitution Committees.

In summary the WTA highlights the following issues:

• the Welsh Government’s own Explanatory Memorandum to the Bill and Economic Impact Assessment suggest that this policy will not cover its own costs of administration

• the Bill extends well beyond tourism visits and includes, for example, stays of less than 31 days for work or education purposes

• local authorities will have sole control of any net tax take and the Bill’s is drafted such that spend does not need to have a tourism-led focus

• the data drawn on and assumptions made are unreliable to a concerning degree

• no account has been taken of the additional pressures already exerted on Welsh tourism over the past five years.

WTA Chair, Rowland Rees-Evans said: “The WTA has engaged with the Welsh Government since the Visitor Levy was proposed and we are disappointed that they are pursuing a proposal from which their own Economic Impact Assessment predicts net job losses.

Rowland
WTA Chair, Rowland Rees-Evans said: “The WTA has engaged with the Welsh Government since the Visitor Levy was proposed and we are disappointed that they are pursuing a proposal from which their own Economic Impact Assessment predicts net job losses.” (Supplied)

“The tourism industry in Wales is already reeling from the impact of Covid, the 182 day rule on holiday lets and the cost of living crisis. Alongside other businesses our industry has also have seen a 40% increase in the living wage since 2020 and faces increased national insurance contributions from this April.

“To place another stressor on an already fragile sector which employs over 20% of the workforce in some parts of Wales is not something we feel would be in the best interests of our country.

“We also want people to recognise that this is not a Tourist Tax – it is a Visitor Levy. It will affect us all in Wales - from children on overnight school trips to people who have to stay in accommodation overnight before early morning NHS admissions.”

Commenting on the plans for the tourism tax, William McNamara, Chief Executive of Bluestone National Park Resort in Pembrokeshire recently remarked: “While we have slightly more clarity on the proposed visitor levy, including the £1.25 overnight charge, there remain concerns about its potential impact on the tourism sector.

“Wales risks becoming less attractive to visitors, especially families, who may view this as an additional cost in an already competitive UK market – particularly as this levy is not being introduced in England.

“Tourism is the backbone of communities like Pembrokeshire, and reinvestment in rural areas can undoubtedly bring benefits.

“However, the success of this levy will depend on clear accountability for how funds are used and a commitment to ensuring Wales remains a welcoming and competitive destination for all,” he added.