Tourists could face 'visitor tax' when visiting Devon and Cornwall

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Tourists in St Ives, Cornwall -Credit:No credit


Tourism chief suggests parts of the West Country could follow Venice with a 'visitor tax'. Visitors to Devon and Cornwall could soon be paying a little extra for their stay as the concept of a 'tourism tax' gains traction.

The head of Visit Cornwall has expressed support for the idea in the neighbouring county, stating that it would be pointless for Cornwall to implement such a tax without Devon doing the same, reports Devon Live. Malcolm Bell, the chief of the tourism board, can "certainly envision" a scenario where tourists contribute more, but insists that Cornwall should not go it alone.

He has proposed that Devon, another hotspot for holidaymakers, should also consider the tax. It follows the introduction of a scheme in Venice where officials have begun charging day-trippers a £4.30 (5 euros) entry fee. The move is aimed at discouraging visitors from arriving on peak days and making the city more habitable for its decreasing population.

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While Mr Bell is in favour of the tax, he urges caution and thorough planning to ensure that any additional revenue is used effectively and does not damage the tourism industry. "We have observed how fast decisions are often very poor decisions," he said, advocating for a measured discussion. "It is a time to have the debate, not rush into action, engage with people and look at the art of the possible."

On the practical side of implementing such a tax, Mr Bell added: "We must make sure it is not burdened with administrative costs and helps to manage the situation we are facing and improve it."

He has stressed the importance of careful deliberation over the decision, involving businesses and other stakeholders. He revealed that discussions are already underway with the Cornwall community foundation and National landscapes, south west coastal paths, according to Cornwall Live.

"But even if we end up avoiding the tourism tax, we should look at the rationale about why people are calling for one," he added. He also noted that the UK is already one of the highest-taxed visitor economies in Europe, second only to France. He questioned the feasibility of a Cornwall-specific tourist tax, stating: "There is no point in Devon not having one and us having one."

Moreover, Mr Bell emphasised that a significant portion of visitor spending already goes into taxes. He said: "Something to consider is there is already a tourist tax as over 30 percent of visitors spend goes into tax. We're the second highest tax visitor economy in Europe: in France you pay 5.5 percent, whereas here we pay 20 percent.

"The normal argument would be we need some distribution of the money that already goes to the majesty's treasury to instead go back into local levels." Even though he acknowledged prevailing fiscal pressures, he added: "Given the national finances, we see the need to pay more into defence, the NHS, social services, we have to be realistic."

Cornwall is a magnet for holidaymakers, as revealed by a committee report that records around four million holiday trips and an estimated 12 million day tourists trickle through its gates each year. Mr Bell suggests, this influx of vacationers showcases a preference for well-looked-after local environments which could only benefit from a tourist tax targeted at preserving its unique natural beauty and wildlife.

In addition, he expressed enthusiasm regarding the potential of the proposed levy income to be utilised for environmental conservation and supporting local societies. He said: "And he added he would like to see the levy look after the environment and consider the communities. The preference would be if the levy is well developed with the community and businesses - where visitors are comfortable to pay a very small amount to help go back into Cornwall."

Mr Bell, a seasoned professional with over 45 years of experience in Cornwall and 20 years in Plymouth, emphasised the importance of transparency in how tax money is spent. He suggested that tourists might be more willing to pay if they knew their contributions were making a positive impact on local communities and the environment in Cornwall.

He stated: "We have 85 percent repeat business in Cornwall - holidaymakers who regularly return would want the levy to help Cornwall and its residents. If holidaymakers want to contribute, if they think it's going to the right cause, I wouldn't mind.

"That to me means yes they would be pleased to see that - if they know where it is going. People are cynical and want reassurance that their extra payment is going on something that is appropriate. But if it is just another levy added onto VAT and taxes? That is probably not what people want to see."

Furthermore, Mr Bell expressed concern about the potential for reduced Government funding for Cornwall if a significant amount was collected through the levy, as the county would be generating its own income. He voiced his apprehension about the possible effects of a tourism tax, saying: "A blunt tourism tax worries me."

He concluded by saying: "If this tourism tax raised a load of money, the Government must give us less - I hate to be a cynic, but you have to think it through carefully."

Questioning the feasibility of a tourist tax, he asked: "How much of it is going to go on administration?" He cautioned that the funds might simply vanish into a "big black hole for the public sector" without benefiting local communities. He pointed out that both Cornwall Council and the Government seem lukewarm about such a tax, using the tourist tax in Manchester introduced from April last year as an example of what wouldn't work for the South West.

He added: "We are looking in the very early stages of what Manchester has done and asking how can it apply to Cornwall businesses." He mentioned the recent implementation of a tourist tax in Manchester, which since April 1, 2023, imposes a £1 charge per room per night, capped at 21 consecutive nights.