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Hotel Tax

Volume 228: debated on Monday 12 July 1993

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24.

To ask the Secretary of State for National Heritage what response he has made to the proposal by the Association of Metropolitan Authorities for a tourism tax on hotels.

I am aware of the document produced by the Association of Metropolitan Authorities, although I have not been approached for a response. I shall monitor developments with interest, although local taxation is primarily a matter for the Department of the Environment.I am glad to see that the paper acknowledges the difficulties inherent in introducing a tourism tax. Many sectors of the tourism industry are opposed to the idea, and the impact of such a tax on tourism earnings would have to be very carefully considered.