The UK Government is exploring the introduction of a UK tourist tax, in a move that they calculate could raise around £500m to £1bn pounds to the Treasury and make up some shortfalls in the budget.
But yet again, these seemingly anti-business officials have no idea about business and the implications of much of what they are introducing.
The rise in National Insurance contributions, the increase in wages and the removal of a chunk of the Business rate relief will already hit businesses hard.
Many businesses like my pub are ready to cut bar staff shifts, raise prices and even lay people off, making us feel like the hospitality industry is under attack from this Government, which will inevitably lead to closures of many pubs, hotels, restaurants and cafes.
A tourist tax would target those staying in hotels, campsites, caravan parks and other accommodation, both domestic staycations and those visiting from abroad, in a move that could add £12 extra a night to these guests.
Many do not realise, but a local hotel can generate a lot of business for local cafes, restaurants, pubs and bars, in can bring in customers to local shops and also support the taxi trade in many areas.
I fear this tax could end up pushing visitors to cheaper destinations and actually cost the Treasury long term.
Tourism is a huge industry and can add £250 billion to our yearly GDP number, also supporting around three million jobs directly and indirectly.
So why tax something that is so important and that is also in a perilous state, especially with so many people struggling to find spare cash to enjoy themselves right now?
UK Hospitality spokeswoman Kate Nicholls has warned of the damage this will cause to both the travel industry and hospitality, but we all know that Rachel Reeves won't listen. She never does.
LATEST MEMBERSHIP OPINION:
Budget2024: Rachel Reeves and Keir Starmer ahead of the BudgetPAWe cannot keep taxing things over and over or we wont have any customers left. So why does this Government continue to make such damaging mistakes? Who advises these people?
What are they going to do when hundreds of thousands of jobs are lost this year because of their budget and potential taxes like this one?
My guess is that they will then find something else to tax, it is a vicious and dangerous cycle. We need growth in this country, and as a small businessman, I speak for many in the industry and beyond.
Everyone is worried, everyone is cutting back and buckling up for more tax raids. This Government is utterly clueless, hospitality needs your support more than ever, so please visit your local pubs, restaurants, cafes and hotels.
It will be 'use us or lose us' this year.
