I have today written jointly to Mayor David Skaith to make clear my firm opposition to the proposed Tourism Levy currently under consideration by the York and North Yorkshire Mayoral Combined Authority.
Tourism is fundamental to North Yorkshire’s economy and identity. It supports thousands of jobs and sustains small, independent and family-run businesses across our county, many of which operate on tight margins and are already facing significant cost pressures.
I believe this levy is wrong in principle. It would amount to an additional tax on family holidays and on the very businesses that depend on them.
The campaign was open to all York & North Yorkshire MPs. It is about standing up for local jobs, protecting our visitor economy and ensuring that decisions taken at a regional level do not unintentionally damage our communities.
In our letter, I have raised a number of serious concerns, including:
- A lack of clarity over who would ultimately bear the cost of the levy and whether it could extend beyond overnight stays.
- The risk that accommodation providers would be forced to act as tax collectors, absorbing additional administrative and card processing costs.
- The potential for small businesses to be pushed over the VAT threshold, with significant consequences for pricing and competitiveness.
- Uncertainty about governance, transparency and whether any funds raised would be properly ringfenced and reinvested in the communities from which they are collected.
- The absence of clear public estimates for administration and enforcement costs.
If the Combined Authority intends to proceed despite widespread concern from businesses and residents, I believe the process must be paused. A full impact assessment should be published and meaningful engagement undertaken with MPs and local tourism organisations before any further steps are taken.
We will continue to oppose the introduction of a Tourism Levy in North Yorkshire and to stand up for our local tourism sector.
