Skipton and Ripon MP Sir Julian Smith has raised concerns about the Government's proposed overnight visitor levy and its potential impact on tourism businesses across North Yorkshire.
The Conservative MP submitted a series of written parliamentary questions asking what assessment had been made of the levy’s impact on rural economies, accommodation providers and visitor destinations.
The proposed levy would allow local authorities to introduce a charge on overnight stays, with Sir Julian warning that it could increase costs for visitors and put additional pressure on hospitality businesses.
In its responses, the Government said decisions on introducing a levy would be made by local strategic authorities, with any potential impacts depending on local circumstances.
Ministers said local consultation would be required before a levy could be introduced, including consideration of its effects on businesses, tourism destinations and rural economies.
Sir Julian also questioned whether rural hospitality businesses and tourism organisations had been consulted to the same extent as those in urban areas.
The Government said it had engaged with a broad range of stakeholders, including representatives from rural areas, but did not provide details of a specific assessment focused on rural tourism businesses.
Sir Julian said:
“These answers will do little to reassure businesses across North Yorkshire and other rural areas.
"This is a mad plan by the Government and the local Labour Mayor and is another hammer blow on rural hospitality businesses.
“What is particularly worrying is that this would be an uncapped tax.
"There is nothing in the Government's approach that appears to prevent local authorities from continually increasing the levy over time, creating uncertainty for businesses and making rural destinations less competitive.
“Tourism supports thousands of jobs across our area, from hotels and B&Bs to pubs, restaurants and visitor attractions.
"The Government should be backing these businesses, not creating new barriers that risk putting visitors off and damaging local economies.”
The levy remains a proposal, with any introduction and the level of charges subject to future decisions and consultation.
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