David Warburton, the prospective parliamentary candidate for Somerton & Frome, is campaigning to urge the Government to cut VAT on tourist attractions from 20% to 5%. The Cut Tourism VAT campaign is led by Bourne Leisure Group, Merlin Entertainments Group, the British Hospitality Association and the British Association of Leisure Parks, Piers and Attractions.
Britain’s VAT rate on accommodation and attractions is currently one of the highest in the EU, putting British tourism at a serious competitive disadvantage. Campaigners want to see the rate cut in a bid to boost economic recovery.
The Cut Tourism VAT campaign has cross-party backing from more than 100 politicians, including 85 Members of Parliament. Also supporting the campaign are major companies including IHG and Hilton together with dozens of regional associations and thousands of smaller establishments.
David Warburton explained, “I met the Chancellor George Osborne and invited him to Somerset to persuade him to give us the lift we need. Not only is tourism is a key part of our economy here in the south west, but it plays a vital role in showcasing our spectacular rural landscape and bringing thousands of visitors each year to enjoy our vibrant towns and villages.
“We must support this industry and ensure that it continues to grow and thrive. A five per cent reduction in VAT on tourism would add a staggering £4.5 million economic boost to the Somerton & Frome constituency, with long lasting benefits for us all. This campaign is gaining pace and I’m keen to help make it happen.”
Research using the Treasury’s own model commissioned in July showed that cutting VAT on accommodation and attractions would create over 120,000 jobs nationwide, add £4 billion to UK GDP each year, and also contribute £4 billion to the Treasury over ten years.
Britain’s high VAT rate compared to other European countries makes it expensive for Brits to holiday at home. Tourism - currently Britain’s sixth largest export, bringing £24 billion each year - is the only export where VAT is levied.
For more information on the campaign please visit www.cuttourismvat.co.uk