Tourism Levy

Baroness Goldie Excerpts

Monday 14th July 2025 Lords Chamber

[Lord Livermore (Lab)]

I am grateful to the noble Earl for his question but, at the risk of repeating myself, we have been engaging with stakeholders to understand their proposals, and we will continue to do so, but we have no present plans to introduce visitor levy powers in England. The noble Earl will be aware that councils and local businesses can choose to raise revenue by setting up business improvement districts; for example, Bournemouth has a coastal business improvement district with the objective of attracting visitors, improving and developing the visitor experience, and building prosperity. That levy will raise over £2 million over five years.

[Baroness Goldie (Con)]

My Lords, I understand that Edinburgh has become the first city within the United Kingdom to impose a city-wide visitor levy, which will come into effect next year. But it appears that HMRC now proposes to impose VAT upon the levy; it seems intrinsically unfair that a tax is imposed upon a tax. The matter appears currently to be shrouded in doubt—can the Minister clarify the position?

[Lord Livermore (Lab)]

I do not know the position on that. I will happily check and write to the noble Baroness.