Asked by
To ask Her Majesty’s Government what consideration they have
given to granting local authorities more powers to manage their
local tourism industries.
The Parliamentary Under-Secretary of State, Department for
Digital, Culture, Media and Sport () (Con)
My Lords, the Government are not currently minded to give local
authorities new powers to manage tourism. As the noble Baroness
will be aware, the Government have given a great deal of thought
to how we can best support the tourism industry, hence the recent
publication of the Tourism Sector Deal. The action outlined in
the deal addresses the challenges facing the sector, with a focus
on growing productivity. The deal envisages a role for local
authorities in managing tourism zones.
(LD)
I thank the Minister for her response. Will the Government agree
to use the tourism zone pilots to trial a tourism levy, with
money raised ring-fenced for the visitor economy? Does she agree
that this would provide an evidence-based assessment of the value
of tourism taxes to local economies?
I recognise that the noble Baroness has done a great deal of work
on and thinking about these issues. The Government share her
broader aim to give local authorities, businesses and other
stakeholders a real voice in the local tourism strategy. Our view
remains that it is a matter for the Treasury to review the tax
regime, and we have no plans to introduce any kind of local
taxation.
(Lab)
My Lords, the noble Baroness will know that the intention in
Scotland is to allow Edinburgh to go ahead with a tourism tax.
Under debate on the Birmingham Commonwealth Games Bill, why was
not Birmingham given the opportunity to at least pilot a tourism
tax, which would have paid for the city’s contribution to the
costs of the Commonwealth Games? Does she further share my
disappointment that the Liberal Democrats would not support that
move when we debated it at that point?
On the Scottish approach, we will clearly be watching
developments there closely and aim to learn from them. In
relation to the Birmingham Commonwealth Games, I have been
reassured that my honourable friend the Minister in the other
place had confirmation from Birmingham City Council that there is
no need for additional taxation: it can meet the cost of the
games.
(Con)
My Lords, if the DCMS believes in tourism, why does it not stand
up to the Treasury?
The noble Lord has more experience than I have of standing up to
the Treasury. The DCMS absolutely believes in tourism: that is
why we were so committed to working for a sector deal, which has
been universally welcomed by all parts of the industry and gives
us exciting opportunities to develop it, particularly outside
London.
(LD)
My Lords, your Lordships’ Select Committee that looked at seaside
towns identified the concentration of social and other problems
in former hotels which had become houses in multiple occupation
and were often exploited by landlords. Is there not a very strong
case for giving local authorities in these areas bespoke powers
to deal with abuses of this kind?
I fear that I may have to consult my colleague in the Ministry
for Housing, Communities and Local Government about houses in
multiple occupation. Perhaps I may write to the noble Lord.
(Lab)
My Lords, I recognise that Birmingham is rather far from the sea
but could we return to those sunny shores? In the discussions
referred to by my noble friend on the Birmingham Commonwealth
Games, we received from the then Minister, now the Chief Whip,
the assurance that Birmingham City Council was undertaking
detailed work and taking expert advice on various options for
revenue-raising to offset the costs of the Games, including the
use of existing powers on the introduction of a new tax such as a
hotel tax. He went on to say that:
“Her Majesty’s Treasury await the conclusion of that analysis and
stand ready to look at the details of any proposals put forward
by the council”.—[Official Report, 24/7/19; cols. 784-85.]
That does not seem to square with what the noble Baroness said.
Is that still the Government’s position? Further, when will we
hear the results of those discussions?
The Government’s position is that we are still in discussions. I
understand that my honourable friend the Minister for Sport has
been in discussions with Birmingham City Council very recently
and that those conversations are continuing. As we said
originally, we will review its suggestions.