(5 years, 5 months ago)
Lords ChamberI am glad to have that intervention, which does not affect what I want to say in the slightest.
The thin-end-of-the-wedge argument interests me. I was once an academic. I do not know who remembers Microcosmographia Academica by FM Cornford. In academic circles, the thin-end-of-the-wedge argument was one sure way that nothing would be done. Let us remind ourselves that the wedge is not always a bad thing. In my house it does considerable work with uneven floors. So, let us take things as we find them. I heard the proper arguments made by the noble Baroness, Lady Neville-Rolfe, and from the Liberal Benches, and I also heard the proper arguments from our Benches. We have been debating this for 31 minutes and 17 seconds. The report to the All-Party Parliamentary Group for Hospitality took its time—considerably more than 31 minutes and 17 seconds—and all the arguments that have been rehearsed on behalf of the business community were heard and are properly registered. All the arguments that were put for the possibility of such a tax have been rehearsed and are part of the argument. Having heard both sides in detail, we get to the recommendation that has already been mentioned—forgive the poor cataract-less ancient Peer putting his glasses on:
“The All-Party Parliamentary Group for Hospitality is calling for greater examination of the potential impact of a tourist tax on consumers, businesses and the economy before taking any decisions on the principle of introducing one”.
The question is open; evidence is needed. A project to find some evidence would not be a bad thing so that we can take 32 minutes and 24 seconds in a year’s time to say that the study has been done, the respective arguments have been seen and weighed and we can now with some confidence recommend either that this goes forward for a two-year period so that we can see what happens and evaluate it carefully, or that the evidence is conclusive and we had better drop it. That is where the APPG left things after a lot of consideration. I have listened to it very carefully. The arguments against and for are valid, and the conclusion is uncertain. Something is needed to give us more certainty when we look at the matter again. I suggest that Amendment 7, which I tabled, might do that. It is provisional, time-limited, place-limited and linked to the Commonwealth Games. Where is the wedge in that? It is specific. It has a shape. It is not pointed to be rammed in further later, but has a definite geometrical shape.
I have heard from the council in Birmingham. It tells me that it has had discussions with DCMS during the bidding process and since about alternative funding streams, including a hotel occupancy tax. It was given assurances by DCMS that it would assist the council in talking to the Government about those alternative funding streams. The council’s argument goes on to the points we have heard already. So, the DCMS Minister is facing me and DCMS has had some discussions and made a commitment to talk to the Government about the possibility of achieving an object rather like the one we are putting forward now. Perhaps the Minister can tell us what the substantive remarks and commitments referred to in the document were. I cannot see what we have to lose.
I am following the noble Lord’s argument as carefully as I can, and I shall go away and read the book he recommended, with gusto, I am sure. Will he address the point I made about imposing a tax, even in the circumstances of Birmingham, making us less competitive and the fact that hotels are potentially facing staff shortages and 20% VAT, which they mention every time I see them?
I am grateful for that intervention. It allows me simply to give the assurance that in the findings of the committee to which I have referred those specific points have been considered, with figures identical to those that have been mentioned. The business side of things needs to be heard. VAT at 20% in this country compares with 12%, 6% or 7% in other European countries, and it loads the tax base here much more than there. It puts this country’s hotels at a disadvantage compared with those overseas. I am not denying these important considerations at all; I am simply saying that, by approving this measure, we could have a specific, properly looked at piece of work that would allow us to take all these factors into consideration and come to a conclusion that would be justified evidentially rather than simply being based on a feeling at this particular moment—on the last day but one of a Session, when, as noble Lords can see, sartorially I am dressed for other occasions.
(6 years, 9 months ago)
Lords ChamberI thank the noble Lord. I have long since learned that perfection is not my strongest suit. I remember once asking everybody in a congregation of mine if anybody was perfect and a man at the back put his hand up. I did not believe him, and he said, “No, it’s not me; I am speaking proxy for my wife’s first husband”.
Perhaps I could help the noble Lord. In the circumstances my noble friend Lord Forsyth expresses, consent is given when the devolved legislature applies the directive and implements it there.
I am very grateful to the noble Baroness. Because I am where I am, I am equally certain that the points being raised will be addressed later in this debate.
What the Government have brought forward at this late stage is too weak. If the purpose is, as the Government claim, simply to give breathing space to negotiate new UK frameworks, which is fair enough, where it is agreed by the devolved Administrations that these are necessary—that is an important part of it—then we should be sure that the devolved legislatures agree that these are indeed the policy areas where restrictions are needed. It does not seem to be very difficult to come to these conclusions. Indeed, there has been no attempt to engage with the proposals put forward by the Welsh Government in their policy paper Brexit and Devolution some nine months ago, arguing for a system which would address precisely this issue. Perhaps the Minister could explain this egregious omission.
Over the last week, I have come across an intriguing poem by Waldo Williams, one of the dominant Welsh writers of the last century. He asks a series of questions and gives succinct, almost gnomic answers to them. As I conclude my remarks, I cannot forbear from quoting one couplet in Welsh, in order to forestall an intervention by the noble Lord, Lord Forsyth—though he might surprise me yet again. I will quote it with a translation by the noble and right reverend Lord, Lord Williams of Oystermouth—I do not want to frighten the Hansard horses. Just listen:
“Beth yw trefnu teyrnas? Crefft
sydd eto’n cropian”.
That is:
“What is it to govern kingdoms? A skill
still crawling on all fours”.
We must urge the Government to stand up, to withdraw their amendments and to go back to the discussions with the devolved Administrations before returning with an approach which gives an appropriate role to the devolved legislatures to agree the areas—indeed, perhaps to go further and to put a list of frameworks into a schedule to the Bill—in which new restrictions on their legislative competence will operate. This may well turn out to be a test of whether the Government have the competence to lead us out of the mess they have so tidily put us in. I wish to move the amendments.