Seasonal Hospitality Businesses in Coastal Areas Debate

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Department: Department for Business and Trade

Seasonal Hospitality Businesses in Coastal Areas

Tom Gordon Excerpts
Wednesday 3rd June 2026

(1 month, 3 weeks ago)

Westminster Hall
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Tom Gordon Portrait Tom Gordon (Harrogate and Knaresborough) (LD)
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The visitor levy is the wrong policy at the wrong time, as the hon. Gentleman puts it, and I have discussed it with UKHospitality. Does he agree that we need to stop this tax, at the same time as cutting VAT? If we do not, we will end up with an effective VAT rate on hospitality and tourism businesses of 27%, which, compared with the rates in Ireland and Germany, for example, at 9% and 7% respectively, is just not competitive.

Joe Robertson Portrait Joe Robertson
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The hon. Gentleman is right, we need both. Our tourism and hospitality sector is one of the most highly taxed tourism and hospitality sectors, compared with our European neighbours, who already have a cost-competitive advantage.