Fury as Brits face paying £100 extra to holiday in UK under government plans

FAMILIES face paying an extra £100 to holiday in the UK under government plans to introduce a new tax, a trade body has warned. Ministers have set out plans to allow mayors and other local leaders in England to introduce an “overnight visitor levy” from next April. Based on how these types of levies work globally and in the UK, holidaymakers would not be billed directly by the local council. Instead, the tax would be collected by the accommodation provider, such as hotels, Airbnbs, B&Bs and holiday parks. Sign up for the Money newsletter Thank you! However, concerns have been raised this could cause 33,000 job losses and see the price of holidaying in the UK rise sharply. UK Hospitality, which represents the industry, has written to the government to express its concerns about the plans. The trade body has suggested an alternative “Holiday Bonus” scheme instead, which would reward local authorities with fixed revenue per visitor’s night. It claims the idea would incentivise tourism, support hospitality and drive economic growth across the country. The Government set out its intention in its “Rewiring the State” policy paper to ensure every area in England has a strategic authority in place by 2028. At the same time, ministers want to give all strategic authorities the power to introduce a holiday tax. Most read in Money Allen Simpson, Chief Executive of UKHospitality, said: “As we warned would be the case, proposed holiday tax powers for Mayors are being swiftly expanded to every strategic authority in England.” He added: “It’s clear the Government is now intending to implement a nationwide holiday tax, making family holidays more expensive during a cost-of-living crisis.” Mr Simpson said: “I am pro-devolution, but I am not in favour of an extra tax that will cost 33,000 jobs.” He continued: “The solution is simple. Treat hospitality the same as every other sector. “Instead of devolving taxation powers, devolve central government revenues to local authorities through a holiday bonus instead.” Comment now