Liverpool hoteliers vote for £2 tourist tax
The City Visitor Charge will haul in an estimated £9.2m over the next two years.
Due to be launched in June, the £2 tourist tax will make £6.7m available to directly subsidise Liverpool’s visitor economy.
Hotels and serviced accommodation providers will manage and administer the City Visitor Charge through the Liverpool’s Accommodation BID. Currently, the only mechanism for the introduction of an overnight levy is via a business improvement district, local authorities don’t have the power to introduce it.
Liverpool’s Accommodation BID represents 83 Liverpool hotels and its ballot on the levy saw 60% vote in favour of the levy from a 53% turnout. 26 companies, with a total rateable value of £7.1m voted in favour while 18 voted against, with one invalid vote. Companies that voted against had a total rateable value amounting to £4.7m.
A similar levy in Manchester’s – a £1-per-night voluntary charge – generated £2.8m in its first year.
The Liverpool BID Company, parent of the city’s Accommodation BID, represents more than 800 of the city’s businesses across three ‘districts’: Retail and Leisure, Culture and Commerce, and Accommodation.
Billy Addy, chief executive, Liverpool BID Company, said the levy would help “turbocharge Liverpool’s tourism and visitor economy” and attract bigger events and larger crowds.
He said: “[A] circular visitor economy becomes sustainable and can invest towards the aspects it needs to make itself successful.
“We have always said that the industry should have their say on whether they want this levy to come in, as they are administering it.”
He added that the success of similar policies across Europe, such as in Bruges, should translate to Merseyside and promote “world-leading and world-beating events.”
Currently, a levy is paid in Liverpool venues with a rateable value above £45,000, but now with the poll, that number will increase.
Marcus Magee, chair of Liverpool’s Accommodation BID, added: “This is a major step in enabling the hospitality sector to have a say and an influence [over] the city’s decision-making around the visitor economy, which is crucial to the vibrancy and economy of the city.
“The business improvement district structure allows for a clear and transparent approach to the use of investment.”
This goes on in every city in France, Spain, etc, we’ll just have to see what the reaction is here.
By Anonymous
Will it cover the increased costs that go with attracting bigger crowds?
My understanding of these taxes is that they are meant to provide finance to mitigate some of the harms of the industry. Not stimulate it further.
By John
Been doing well in Manchester for a number of years now so not sure why it wouldn’t work in Liverpool as well
By Bob