Asked by: Baroness Doocey (Liberal Democrat - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government what assessment they have made of the behavioural changes of travellers as a result of the withdrawal of tax-free shopping for international visitors.
Answered by Baroness Penn - Minister on Leave (Parliamentary Under Secretary of State)
The Government’s assessment of the anticipated behavioural changes as a result of tax-free shopping (covering the VAT Retail Export Scheme and the airside scheme) was set out in the original policy costing note which can be found in the Policy costings document from November 2020 p42-43. The government followed the same methodology when calculating costings for the 2022 Growth Plan, which can be found in the Growth Plan documents paragraph 4.19 and Table 4.2 from September 2022.
Whilst there are no current plans to re-introduce tax-free shopping for international visitors, the government keeps all tax policy under review, and we are very grateful to industry for their contribution to our invitation to provide evidence on this matter.
Asked by: Baroness Doocey (Liberal Democrat - Life peer)
Question to the HM Treasury:
To ask Her Majesty's Government what estimate they have made of the number of jobs that could be lost in the nighttime economy where employees may not qualify for the Job Support Scheme.
Answered by Lord Agnew of Oulton
The Job Support Scheme will assist businesses facing reduced demand over the winter due to COVID-19 to retain their employees and keep them attached to workforce.
The Job Support Scheme is just one part of a wider package of support that will minimise strains on companies’ cash flow and help them meet fixed costs.
Alongside the Job Support Scheme, the Government’s support package includes Bounce Back Loans, business support grants, an extension to the VAT cut for the hospitality and tourism sectors, and the introduction of the Job Retention Bonus to encourage employers to keep their previously furloughed staff employed.
Asked by: Baroness Doocey (Liberal Democrat - Life peer)
Question to the HM Treasury:
To ask Her Majesty's Government what plans they have, if any, to compensate pubs, restaurants and bars for any revenue lost as a result of the introduction of a 10pm closing time.
Answered by Lord Agnew of Oulton
The Government recognises that the necessary restrictions on opening hours for hospitality venues will be disruptive for businesses in this sector.
We recognise that the sector is a vital source of employment across the country, and that is why – in addition to the CJRS, tax deferrals and loans – we have prioritised support for hospitality businesses. This has included:
On 24 September the Chancellor set out the next phase of our plan to support the economy, following announcement of measures to control the spread of COVID-19. This is a targeted package of measures to support jobs and business through the winter months, including a new Job Support Scheme, an extension of the reduction in VAT (5%) for the tourism and hospitality sector to 31 March 2021, and changes to the existing government backed loan schemes to help business access the finance they need and plan their cashflow.
The Government is continuing to collect evidence on the impact of the pandemic on the hospitality sector and to work with businesses and representative groups to inform our efforts to support this sector.
Asked by: Baroness Doocey (Liberal Democrat - Life peer)
Question to the HM Treasury:
To ask Her Majesty's Government, further to the Written Answer by Lord Bates on 2 April (HL14646), whether they will assess how a tax levied on hotel stays on a per night basis might affect cities and their tourism sectors; and if not, why not.
Answered by Lord Young of Cookham
The Chancellor keeps the tax system under review, but has no plans to introduce a tax levied on hotel stays on a per night basis. Therefore, no such assessment is planned.
Asked by: Baroness Doocey (Liberal Democrat - Life peer)
Question to the HM Treasury:
To ask Her Majesty's Government what assessment they have made of how a tax levied on hotel stays on a per night basis might impact cities and their tourism sectors.
Answered by Lord Bates
The Government has made no such assessment.