Over 90% of London’s visitor industry would be against a “bed tax” as proposed in Sir Michael Lyons’ inquiry into local government, according to a survey on the issue by Visit London.
The survey, which gathered opinions from tourism businesses in the capital, found that 92% were completely opposed to the proposed tax, while 65% claimed the move would cause a “major downturn” in the level of their business of more than 5% of turnover.
Thirty per cent thought it would lead to a decrease in turnover of between 1% and 5%.
Craig Beaumont, public affairs manager for Visit London, said: “As the proposal currently stands, a blanket bed tax would not be of benefit to visitors, or the businesses that rely on them. Revenues from the tax would not be ring-fenced for tourism spending so how would we know that any money raised would be ploughed back into supporting the industry?”
The Lyons inquiry will report to the government by the end of the year, which will then decide whether to take forward some or all of its proposals.
