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10
Sept
Government paves way for introduction of tourist tax in North Yorkshire
Mayor David Skaith has been given the green light to press ahead with plans to introduce a tourist tax in North Yorkshire.
The government today (September 10) gave mayors the power to introduce an overnight charge on room bookings.
The move is divisive: Harrogate hoteliers rejected creating a similar local scheme this year amid concerns it could deter visitors.
But Mr Skaith, the Labour major of York and North Yorkshire is a strong supporter.
He has repeatedly described the charge — formally known as an overnight visitor levy — as a “game-changer” that could raise millions of pounds to boost tourism in the region.
A report commissioned by Mr Skaith this week said a £1-a-night room charge could raise £26 million a year.
David Skaith at Number 10 North in Manchester.
But Reform UK leader said his party’s two mayors in Greater Lincolnshire and Hull and East Yorkshire “won’t touch” the levy.
Reacting to today’s news, Mr Skaith — who attended a mayoral council at No10 North in Manchester today — said:
It’s good to have more clarity on what an overnight visitor levy would look like and how it might be applied. No decision will be made without a full public consultation and more engagement with the hospitality and tourism sector.
I know that people want to see improvements to our town and city centres, investment in our public services, and us showing off just how great our county is. That’s what money raised from a visitor levy will help us deliver.
Flat rate ruled out
However, today’s government announcement appeared to dash Mr Skaith’s hopes of a £1-a-night charge.
It said any levy would have to be charged as a percentage of the cost of accommodation, rather than as a flat fee, to protect budget accommodation providers, such as caravan parks and camping sites.
Mayors will be able to decide whether to introduce a levy and how the revenue should be invested in their area, in consultation with their residents and local businesses.
Angela Rayner, Secretary of State for Housing, Communities and Local Government, said:
“This measure will give mayors the choice to raise and reinvest funding where it’s needed most. It’ll help support the local services, public spaces and attractions that both residents and visitors rely on, with decisions taken by people who know their area best.”
The government said the levy was the “latest step in fiscal devolution” which will bring England in line with other countries where similar levies are in place, including in many cities in Germany, the United States, Italy, Netherlands, and Canada.
Mayors will have the flexibility to offer exemptions – such as for campsites.
Temporary accommodation and shelters or refuges would not be subject to the levy.
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