VAT On Tourism

EDM number 584 in 2017-19, proposed by Stephen Lloyd on 22/11/2017.
Categorised under the topics of Taxation and Tourism.

That this House recognises the value of the tourism sector; notes that tourism-related businesses lie at the heart of local communities an economy; further notes that UK tourism is disadvantaged by high taxes with a VAT rate on accommodation and attractions that is double the European average; acknowledges that across Europe, where tourism VAT has been reduced, investment has taken place, jobs have been created and the tourism sector has grown; welcomes the Government's commitment to conduct a report into the impact of VAT on tourism in Northern Ireland, believing that it will show the potential for job and wealth creation across the UK; highlights economic research that shows a cut in tourism VAT could bring in £4.6 billion to HM Treasury, create 121,000 jobs and support exports, improving the UK's balance of trade by £23 billion over 10 years; notes that a reduced rate of VAT for tourism has been recommended by three Select Committees and advocated by more than 100 hon. Members from different parties; further recognises that such a move would strengthen the wider economy, support job creation and generate investment in local businesses, particularly in deprived coastal and rural communities; believes that a reduction in tourism VAT is particularly important as the UK prepares to leave the EU, since it would send a strong signal that the UK is open for business and continues to welcome visitors; and calls on the Chancellor of the Exchequer to reduce tourism VAT to five per cent across the UK.

This motion has been signed by a total of 25 MPs.