Brexit: Tourism and Hospitality Industries

Lord Lee of Trafford Excerpts

Monday 18th July 2016 Lords Chamber

Asked by

[Lord Lee of Trafford]

To ask Her Majesty’s Government what assessment they have made of the implications of the European Union referendum result for the tourism and hospitality industries.

[Lord Lee of Trafford (LD)]

My Lords, I beg leave to ask the Question standing in my name on the Order Paper. In doing so, I declare an interest as chairman of the Association of Leading Visitor Attractions.

[The Earl of Courtown (Con)]

My Lords, the decision of the British people to leave the European Union creates new opportunities and challenges for the tourism and hospitality industries. The Secretary of State for Culture, Media and Sport will hold a round table with the sector before the end of July to listen and learn about those. There are no immediate changes to travel between the EU and the United Kingdom, or to the way in which our services are sold overseas.

[Lord Lee of Trafford]

My Lords, post Brexit, we are free to abolish air passenger duty on domestic flights and reduce VAT to any level we choose, but the more immediate problem relates to our hospitality industry, sustained particularly by EU citizens born abroad. What assurance can the noble Earl give to them and their very concerned employers as to their status and ability to remain in this country, given the rather confusing statements made by David Davis?

[The Earl of Courtown]

My Lords, the noble Lord, Lord Lee of Trafford, brings to the attention of the House the ability to reduce value added tax or APD. These matters are always taken under consideration by the Treasury. He also mentioned people employed in this country in the United Kingdom hospitality industry. The Government’s position is clear: we fully expect that the legal rights of EU nationals already in the United Kingdom will be properly protected—they make a huge contribution to our country—but we need to win the same rights for British nationals living in European countries. We are confident that we will be able to reach an agreement, protecting the rights of EU nationals here and our citizens in Europe. Securing such an agreement will be a priority in our EU negotiations.