Wales tourism tax plan will turn people away - businesses

A tourism tax for overnight stays would "turn people away from Wales", industry bosses have warned.

The Wales Tourism Alliance said it would "tot up very quickly" and be unfair to Welsh businesses.

The tax being considered would apply to overnight stays, and it would be up to local authorities to decide whether to apply it.

The Welsh government, which will hold a consultation this autumn, said tourism levies were common around the world.

Last month, Welsh tourist hotspots Llandudno and Conwy, both in Conwy county, along with St Davids and Tenby in Pembrokeshire were named among the best seaside resorts in Britain.

Tourism spend in Wales was worth around £5bn in 2019, and the government believes that a tourism tax would generate income for local authorities that could be spent on keeping beaches and pavements clean, maintaining parks, toilets and local pathways.

Plaid Cymru has also supported the idea which is part of a co-operation agreement between the Welsh government and Plaid.

Suzy Davies, chairwoman of the Wales Tourism Alliance, told Newyddion that businesses were "not looking forward to the idea because we're talking about a tourism tax that would affect Wales alone".

"Compared with people who have businesses in England or Scotland, it's just something else that will turn people away from Wales because of that," she said.

"If we're talking about every bed every night, just for a normal family, that can tot up very quickly."

Richard Griffiths, owner of the Richmond Hotel in Aberystwyth, said it was "completely the wrong time to discuss any increases in the cost of the tourism industry".

"We have just come out of three years of a Covid period... we have got the increased cost for fuel, staffing, banking charges, everything is going up at the moment" he said.

"So, for government to think it's sensible to add a tourism tax levy on top of the costs for overnight guests only... who are currently paying for their accommodation and dining out in the evenings... and say 'we want to tax you even further', it's unfair, unnecessary, and badly thought out."

But not everybody disagrees with the idea of a tourism tax, including Welsh Language Society - Cymdeithas yr Iaith Gymraeg.

Jeff Smith, chairman of its sustainable communities group, said it wanted to "see a new model for tourism, a more sustainable model that works better for people in communities".

"We're happy that the Welsh government is considering bringing in such a tax in order to support communities," he said.

"It's worth noting that communities with a lot of tourism are often relatively poor compared to other parts of the UK."

The Welsh government said: "Tourism levies are common around the world and the revenue is used for the benefit of local communities, tourism and businesses.

"We will consider all comments as part of the consultation this autumn.

"The Senedd will need to approve the process carefully and develop the proposals for a tax, turn that into legislation and implement it and it will take many years."