5. Welsh Conservatives Debate: Tourism

Part of the debate – in the Senedd at 4:02 pm on 27 April 2022.

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Photo of Samuel Kurtz Samuel Kurtz Conservative 4:02, 27 April 2022

I think the Member is perhaps confusing our support for business and local economies and the impact that has on communities. So many tourism businesses support those very communities that you care about and we care about with equal passion.

The second point that I think was raised and outlined by Natasha Asghar in particular was the impact that COVID-19 had on our tourism sector here in Wales—lockdowns and restrictions saw a number of businesses shut down, while others struggled to stay afloat—and recognising the support those businesses received from the UK Government but also from Welsh Government in their outreach during that time, very difficult for those businesses.

Many Members, of course, were quite passionate about the ideas around the tourism tax, mentioned by Janet Finch-Saunders over Zoom there. James Evans, in particular, had very strong views that it's not a good idea for this sector here in Wales. As Members outlined, leading figures from across the tourism sector are unanimous in their thoughts that they do not support this tax being introduced. And outlined also by Natasha Asghar was, actually, already those businesses are paying above and beyond taxation through VAT compared to other countries. So, a further tax again is perhaps something that may not be helpful at this time. 

Janet Finch-Saunders referred to the number of people who are working in tourism-related industries—143,500 people here in Wales. Those very communities that Rhun ap Iorwerth is talking about, those very people in those communities, have been sustained by those jobs. And then, of course, also Tom Giffard brought in, in terms of a tourism tax, that, in some parts of the world, actually, it's being used to reduce tourism. Now, sustainable tourism, we all would agree that that is needed and important for us, but sustainable tourism does not mean fewer visitors or fewer tourists. It doesn't mean fewer businesses. It actually means doing it in a way that includes our communities, and also ensures we have a great experience for our tourists to visit time and time again. I was pleased, of course, that even Mabon ap Gwynfor was able to say how important the sector is to the economy here in Wales. 

I think the final point, Deputy Presiding Officer, that of course was discussed at great length, and rightfully so, is the proposed changes from Welsh Government on the non-domestic rating system and the impact that this will have on many holiday letting businesses. Russell George's interventions were particularly passionate on this issue—on an important day for Russell George, actually, today, I believe. But it is a very serious issue that certainly needs to be addressed.

The criteria for self-catering accommodation being liable for business rates moving up to 182 days—so many existing businesses are saying that they will not be able to achieve that. It's perhaps a technical issue, but a very important issue, about so many of those businesses then folding, and those properties not being able to be used for anything else and then lying there empty. It seems like something that a Government—. I appreciate the Minister's comments in terms of reflecting on that issue.

Tom Giffard mentioned that, in the cross-party group on tourism that took place last month, this issue was discussed with Welsh Government officials. I'm grateful to them for their attendance at that meeting. It's clear that the Welsh Government's proposed changes would be significantly detrimental to the livelihoods of many people, and I certainly hope that those comments will be considered seriously.

So, in closing, Deputy Presiding Officer, we need to remember that now is the time to encourage enterprise and business here in Wales. We need to encourage people to visit Wales and spend their money in our businesses, sustaining those jobs and those communities that are so vitally important. Visitors to Wales spend significant sums and invest significantly in our country, benefiting our local economies, from hoteliers to restaurants to those who run incredible attractions up and down Wales.

I cannot stress enough how important this industry is to our country: 145,000 jobs sustained because of it. Now is the time to celebrate this sector and appreciate that people from across the world come to choose Wales as a place to visit. In today's debate, we have a fantastic opportunity to show the tourism sector that we are on their side, we recognise the exceptional work that they carry out in providing jobs and how important it is to the Welsh economy. So, today I urge everyone to support our motion in front of us. Thank you very much.