Tourist Spending: VAT Debate

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Department: HM Treasury
Wednesday 24th May 2023

(1 year, 6 months ago)

Lords Chamber
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Baroness Penn Portrait Baroness Penn (Con)
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The noble Lord makes an important point. We have taken steps during the pandemic to provide support for those towns that rely on tourism; £37 billion of support went to tourism, leisure and hospitality in the form of grants, loans and tax breaks. We have the tourism recovery plan, which is focused on both international visitors and domestic tourism within the UK. We also have the towns fund, which is specifically focused on helping regenerate towns, including many of the seaside towns that do not tend to benefit from the bigger-city deals.

Lord Lee of Trafford Portrait Lord Lee of Trafford (LD)
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My Lords, last week, as president of the Association of Leading Visitor Attractions, I received an email from Dr Julia Knights, the deputy director of the Science Museum, who wrote:

“It is devastating to see so few schoolchildren now visiting the Science Museum from France and Germany especially.”


Could the Minister urge our trusty and well-beloved Home Secretary to again press the accelerator, but this time to urgently expedite the visa passport situation for visiting European schoolchildren and, similarly, to urge the Chancellor of the Exchequer to man up and admit that the VAT refund policy needs to be reversed, and do it now and not wait until the Autumn Statement.

Baroness Penn Portrait Baroness Penn (Con)
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I am not sure that the reversal of the VAT refund scheme would encourage more schoolchildren to visit the Science Museum. But I will certainly take back the noble Lord’s point about visas to the Home Office.