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Sunak agrees Plaid-Labour tourism tax ‘bad for the economy and the UK’

08 Dec 2021 2 minutes Read
Chancellor Rishi Sunak picture by No 10 Downing Street (CC BY-NC-ND 2.0).

Rishi Sunak has agreed with a Welsh Conservative MP that the Plaid-Labour cooperation agreement in the Senedd is “bad for the economy and bad for our United Kingdom”.

Speaking in the House of Commons, the Chancellor said Jamie Wallis had made an “excellent point” about the Welsh Government when the Bridgend MP criticised the tourism tax proposed in the cooperation agreement signed by Plaid Cymru and Welsh Labour.

Jamie Wallis had said that the tourism tax would “do significant damage to Porthcawl” in his constituency.

“Does my right hon. Friend agree that imposing a new tax on a sector already hit hard by Welsh Government restrictions is further evidence that Labour-nationalist coalitions are bad for business, bad for the economy and bad for our United Kingdom?” he asked.

Rishi Sunak responded that “My hon. Friend makes an excellent point about the Welsh Government.”

He said that the UK Government were cutting VAT and business tax, and that he hoped that the Welsh Government would follow suit and do the same in Wales.

‘Success’

Speaking in the summer the Deputy Minister for Climate Change, Lee Waters, said that the taxes were “commonplace across the world” and he accused the Conservatives of not being “serious about governing” by criticising the plans.

“Elected Councils would have the option to levy it, or not. This is commonplace across the world. Does it ‘damage’ the economies of Berlin and Barcelona?”

Airbnb have said that they will back Welsh Government plans for a tourism tax in Wales, and wanted to work with them to develop the policy in a bid to tackle “overtourism”.

A spokesperson for Airbnb, who allow travellers to book hundreds of properties in Wales, told Nation.Cymru that they already had already signed more than 1,000 regulatory and tax agreements globally and were used to collecting applicable taxes around the world.

“We support plans for a tourist tax in Wales and welcome the opportunity to work with Welsh leaders to make it a success, as we have done already by helping generate nearly £2.5 billion in tourist tax revenue in approximately 30,000 jurisdictions around the world,” the spokesperson said.

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Ed Jones
Ed Jones
1 month ago

Rishi Sunak is quite correct, for he is a genius of the highest rank and not at all an idiot. Just look at the devastation in the following – Spain, Italy, Croatia, France, Belgium, Germany, Greece, Switzerland, Japan, Portugal, Slovenia, the Netherlands, Hungary, Bulgaria, Barbados, Jamaica, Malaysia, Bali, Texas, California, etc., etc. – it is a well known Tory Fact that not a single visitor has been to any of these places ever since a ‘tourism tax’ was implemented…

Ann
Ann
1 month ago

Sunak doesn’t seem to be aware that VAT is set by his own governmant not by the devolved nations!

Mark
Mark
1 month ago

Peoples right to travel does not outweigh the locals right to enjoy the area they live in or the need to preserve the environment, If Wales does start charging a tourist tax they will be joining a long list of European countries and other countries around the world that already charge a tourist tax, So yet again the tories are behind the times, a bunch of self serving corrupt spivs.

Grayham Jones
1 month ago

All second homes in wales must be 100 percent taxes and no more second homes in wales 🏴󠁧󠁢󠁷󠁬󠁳󠁿 stop being little Englanders and be proud to be welsh start fighting for your children and grandchildren future in wales 🏴󠁧󠁢󠁷󠁬󠁳󠁿 it’s time for a new wales 🏴󠁧󠁢󠁷󠁬󠁳󠁿

Notta Bott
Notta Bott
1 month ago

Maybe that rich bell can make companies operating in Wales pay taxes to Welsh gov then? Surely that is beneficial to “our united” Kingdom?

Gareth
Gareth
1 month ago

With the Billions that the UK has lost, and will lose every year due to Brexit, supported and implemented by his party, the effect on the UK economy of a tourism tax , will not even be noticed.

Mab Meirion
Mab Meirion
1 month ago

What has it got to do with him…

Argol Fawr
Argol Fawr
1 month ago

So pray tell us why it is bad for business, Wallace/Sunak? Saying something is bad without setting out any argument to support the view, a typical dopey tory soundbite. Bad for their pockets perhaps, good for those communities affected.

mike
mike
1 month ago

just as well England pays Wales’ bills

Siarl
Siarl
1 month ago
Reply to  mike

Is that meant to be ironic?

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