A Bridlington councillor has warned that a proposed visitor levy on overnight stays could cause reputational damage and complex operational challenges for the local hospitality sector.
Bridlington Councillor Andy Walker has voiced strong opposition to the proposed introduction of a visitor levy, warning that local tourism businesses would not benefit from the scheme.
Government proposals could see a new tax placed on overnight stays, with regional mayors granted the power to introduce the charge. While some have welcomed the idea as a potential game changer, East Riding councillors have raised significant concerns about the economic pressure it would place on the local hospitality sector.
Councillor Andy Walker highlighted that the Bridlington Tourism Association and numerous coastal enterprises are deeply worried about the practical implications of the policy.
Councillor Andy Walker said:
"Many coastal businesses have expressed deep concern, and so has Bridlington Tourism Association, not just on the increased cost for all the guests but also from an operational perspective. The administration of a tourist tax would add complexity. This includes collection, accounting, compliance, and explaining the charge to guests. There is a real risk here of negative feedback and reputational damage if the visitors think that the charge is poor value or are unclear about how the money will be spent."
The local hospitality industry is already facing significant challenges following a recent business rates review and higher national insurance contributions. Councillor Walker believes that adding another financial burden could severely damage the relationship between local businesses and the local authority.
Councillor Walker thinks the local reaction to the introduction of a levy would be similar to that seen when the Yorkshire Coast bid levy was imposed.
"The sector fought hard and collectively to oppose the ill-fated coastal BID. The strength of feeling at that time should not be underestimated. Introducing a tourist tax would in my view be met with the same level of resistance and frustration, and risks creating a similar breakdown or risk to trust and goodwill between those local businesses and that authority. I really hope that such a tax will not be levied on our embattled tourist enterprises."
His comments follow a formal motion submitted by Councillor Mike Heslop-Mullens, which urged the local authority to reject the concept of an accommodation levy. The motion, which received backing from other councillors, requested that the council write directly to the Combined Authority Mayor to formally oppose the potential tax hike for Hull and the East Riding.
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