PARLIAMENTARY DEBATE
Tourism: Overnight Visitor Levy - 15 September 2026 (Commons/Commons Chamber)

(Urgent Question): To ask the Minister for Housing, Communities and Local Government if he will make a statement on the impact of the Government’s proposed overnight visitor levy on the tourism and hospitality sectors in England.

Last Thursday, the Government published their response to the consultation on the overnight visitor levy. The “rewiring the state” Cabinet announcement committed to

“delivering good growth in every part of the United Kingdom”.

The visitor levy supports that ambition by empowering local leaders to deliver transformational investment, building the reputation of areas across England as world-leading destinations. Local leaders will be able to choose to introduce the levy as a way to raise money to support growth in their region, including in the visitor economy.

Visitor levies are common in Europe and the rest of the world. All over the G7, countries already have some form of tourism or overnight accommodation levy in place. The Government have decided that both foundation strategic authorities and mayoral strategic authorities will be empowered to raise a levy to support growth in their areas. This approach means that places without a mayor will also be able to invest in their region, making them better places for residents and businesses, as well as for the people who visit and enjoy those areas. The levy will be set as a percentage of accommodation costs. That means that low-cost stays remain low cost, while those who can afford it will be able to contribute more to the places that they visit.

Strategic authorities will be required to consult before introducing a visitor levy. This will inform their decision on whether to introduce the levy, how much it would cost and how revenues would then be spent. We expect that local leaders will be able to set out plans for how revenues will be invested by early 2028, and to introduce a levy before the end of this Parliament.

The Government have engaged with the tourism and hospitality sectors throughout the consultation, and we will continue to do so as the legislation is developed. The changes that the Labour Government are introducing will mean that more money will be invested in our high streets and public transport systems, and England’s tourism hotspots will directly benefit from visitor footfall to improve the area for people living there too.

Let us call this what it is—Labour’s holiday tax. Although we knew it was coming, we never expected it to be uncapped. This Government have already hammered hospitality with higher employment costs and business rates. Almost 89,000 hospitality jobs have gone, and now what is Labour’s answer? Hit them again. If we tax something, we get less of it, so if we tax tourism, we will get less tourism—it is not complicated. Fewer tourists mean fewer jobs. UKHospitality estimates that up to 33,000 jobs will go, along with over £2 billion wiped from the economy. These job losses will hit young people hardest, when they are already struggling to secure those all-important first roles.

We should not make the mistake of thinking that this is just a tax on foreign visitors. Tax Policy Associates estimates that trips by British tourists will generate 63% of the revenue from this levy. This is a tax on hard-working British families. A weekend away, a family holiday or a few nights by the seaside will all cost more. Every pound taken in this tax is a pound that families do not spend in the local pub, restaurant, café, shop or attraction. It is not just Brits on a staycation who will be impacted—it will be anyone staying overnight for any reason, such as visiting a sick relative, going away on business or travelling for medical treatment. Why on earth should those people be taxed simply for going about their daily lives? It is not fair.

The Prime Minister has repeatedly promised to give breathing space to households struggling with the cost of living, yet this tax does the exact opposite. British hospitality does not need another tax. Hard-working families do not need another tax. Young people looking for work do not need another tax. The Government must scrap the holiday tax.

Where do I start? We are not starting from year zero. The idea that the time under the previous Conservative Government was somehow “the good days” for our pubs, our hospitality industry and our tourism economy. Just think about the thousands of pubs that closed on their watch, and the bars, the restaurants and the live music venues that were left standing by themselves because they were ignored by the Government of the day. Well, now they have a Government on their side, which is why we have already introduced measures to give pubs and live music venues a 20% business rates cut, and we have targeted investment at our town centres and our high streets.

At the end of the day, it is not possible to go to a corner of England and not see somewhere that was impacted by all those years of austerity and the lack of investment that went alongside it. The question is: do we just accept that decline is inevitable and that the rot that the Conservatives allowed to set in across large parts of this country is a permanent fixture of our national character? Or do we decide that a different route can be taken, in which we invest in our economy and growth?

Importantly, we must see this measure through the prism of the new spirit of devolution, because there is no mandation—areas are not being made to introduce a levy. It is down to local leaders to make the right call for their area, to consult on those decisions and, importantly, to present back to their community where the investment will go. That will not just benefit people who are visiting. Investment in tourism hotspots in particular—in our great cities and countryside—and our rural economies will benefit the people who live there, because they will have better neighbourhood services provided. In the end, everyone will win.

South Shields tourism is largely made up of families from neighbouring regions who have saved hard all year round to spend a few days at the seaside, and even if the increase from this measure is marginal, they will not come. My constituents, family-run B&Bs, caravan parks, hotels and wider hospitality industry have been unequivocal with me that they do not want this measure. It is the wrong tax at the worst time. The extra burden on their business will tip my local industry over. Devolution works only when it reflects what communities want, so will my hon. Friend confirm that MPs, who are voices and local leaders in their communities, will be at the forefront of these proposals?

I appreciate the question, and I recognise that my hon. Friend has been a champion over a long period of time for jobs in her community. I do not take her representations at all lightly, but there is not a part of the country where investment is not desperately needed to improve the visitor experience and the experience of people who live there. If we get this right—it will be down to our local mayors and local leaders to implement the investment—the truth is that everyone will benefit from the improved visitor experience.

I call the Liberal Democrat spokesperson.

Liberal Democrats have long championed our high streets, tourism and hospitality sectors. While we strongly support devolving economic powers, businesses are already struggling under mounting costs, a VAT rate higher than that of our international peers and the Government’s national insurance contributions hike. Without support, an overnight levy risks looking less like genuine devolution and more like another short-term tax grab. If Ministers hand local mayors and foundation strategic authorities the power to introduce levies, they must bring forward vital sector relief—an emergency 5p VAT cut, relief from NICs and so forth—and must not reduce local government funding as a result. Can the Minister confirm when this House will see full details of the levy? Specifically, will Ministers implement a cap and sector support to protect local tourism and hospitality?

There is no expectation that councils will see a cut in the way that the hon. Lady explains—I am not quite sure what the rationale is for that. This is a new levy that local areas can choose to bring in, but it is down to local leaders in both our mayoral strategic authorities and our foundation strategic authorities, working with their local councils, to determine if they want to do that, how they want to approach it, if they want to carry out a proper consultation and to set out where the spending and investment will follow. That is not central Government telling places what to do. It is time that we stop pretending that England is somehow one place and that one size can fit all. Devolution, if it matters, must mean that local leaders can make the right choice for their area.

As a Cornish MP, I welcome this measure. It is important that local leaders, particularly those in non-mayoral areas, will get the opportunity to make this decision in consultation with businesses in their areas. Will the Minister confirm that emergency and temporary accommodation, as well as low-cost holiday options such as tents and caravans, could be excluded from the levy?

We will certainly set out more detail on the list of exemptions as the legislation is developed. Holiday hotspots such as Cornwall, the Lake district and many other parts of the country benefit hugely from tourism and support a huge range of jobs, but it is true to say that the impact of tourism comes with a cost, and it is right that that cost is met by a fair and proportionate levy on the people who benefit. With that, local areas will see the benefit and the investment that will follow.

I must admit that I am really puzzled by the Minister’s statement. The visitor levy is not going to be ringfenced for tourism, so how does he know that it will go to its intended destination? The levy will not be capped. We normally tax things to stop people doing them, not to encourage them to do more of them. What evidence can he offer to demonstrate that this measure will bring growth, as he says? What work have the Government actually done to prepare for this measure? How will they know whether hospitality businesses—let us face it, they are already collapsing in their droves following decisions that the Government have already taken—will survive yet another tax being imposed on them?

As I have set out, it is for local areas to decide whether this is right for their place. Importantly, on whether this is a new tax, every tax is of course a tax, but the question is: where is the accountability and where does that money go? Our mayors and foundation authorities will be required to set out in consultation how much they want to raise and for that to be proportionate to their local area, and to do an impact assessment of the proposed levy and, importantly, set out where the money will be invested.

In relation to places without a levy, just think about who pays for the impact of tourism, who puts on the events and performances that bring people into the local area, and what is the wider experience? I went away to North Yorkshire in the summer, and my experience was not just the accommodation we stayed in, but visiting the local village and the local town, and driving around the local area. We need to think about the visitor experience, which is wider than just the accommodation where people stay, because it is the place where they go.

I congratulate my hon. Friend on being the champion she is for Bournemouth. I would reflect on how the experience there, with the cuts to local government over many years, has impacted the services on the ground that would have been provided—both the neighbourhood’s quality of place and the economic focus on tourism. We need to start rebuilding them, and this may be one way of doing so.

On the lessons learned, places may approach this with a flat rate, so no matter where people go, everyone will pay £5, or whatever. However, we believe that at its core this has to be fair and proportionate, so we ask ourselves, “Why should somebody visiting a guest house in Blackpool pay a flat fee in the way somebody visiting the Ritz here in London would?” That is not fair or proportionate, but a percentage rate is.

Let us try Andrew Snowden, who represents a nearby constituency.

Thank you very much, Mr Speaker. First we had a jobs tax that reduced the number of jobs in the economy, then we had a schools tax that reduced the number of children in independent schools, and then we had a farm tax that reduced the number of family farms. Given that correlation, have the Minister and the Government learned anything from this socialist tax-addicted way in which they are governing the country, and will the tourism tax do anything other than reduce tourism?

Taxes were high at almost every turn under the previous Government, but people could not see the benefits of where that tax was going. People desperately want the country to turn a corner, with the investment we collectively make through the taxes we pay—at national level, regional level or local level through our councils—ultimately meaning that the places we care about are improved as a result, and this is one way to do that.

It is absolutely right that local communities get to decide whether to introduce this levy—that is a key part of devolution—but I am concerned about the pressures already on the hospitality and tourism sector, which is a very important part of my Brighton Kemptown constituency. We have already seen the closure of two iconic LGBTQ bars—the Charles Street Tap and the R-Bar on the seafront—and, frankly, I am worried that more face closure. Will the Minister reassure me about the action the Government are taking to support the sector? Would he also consider taking a trip to the seaside with the Secretary of State to meet local businesses and people in the local hospitality sector and to hear what more this Government can do?

This is definitely the benefit of a wider ministerial brief: I do not just get to go to bus councils; I also get invited to seaside towns, which is good news.

On the pressure issues, I do not think anybody underestimates just how difficult it is for those in hospitality and leisure at the moment—these are not good times—but surely the way to grow is to invest in that experience so that more people want to come to our towns, our cities and our seaside communities. We believe that growing that base and creating demand through collectively improving such experiences will create a more sustainable visitor experience.

Tourists visiting Torbay already pay double the rate of VAT compared with those visiting Italy, France or Spain. The reality is that a cost of living crisis is just the wrong time to implement a tourism tax. Can the Minister please share what investigations he has made of the impact of the tourism tax, but also assure us that Airbnb operators will also pay their fair share?

The hon. Member raises two important points. On the first, the local impact assessment, this will be a devolved power, so it will be down to the mayoral or foundation authorities, as part of the consultation, to undertake an impact assessment at a local level, which will of course weigh up both the concerns and the benefits of this new levy. On the second point about levelling the playing field, which he makes very fairly, we could not have allowed a situation in which our guest houses and hotels are undercut by Airbnbs that are not included in the scheme. So this will apply right across the board, including to temporary or short-term lets, such as Airbnb and others.

I welcome the visitor levy and the investment it will bring to London’s visitor economy. Has the Minister been listening to London Councils, which wants 50% of the money raised in each borough to return to that borough, so that businesses know it is going back to the things that they want, such as cleaning Putney High Street?

Order. Can I just help Members who have been here a long time? Looking at the Minister is not how we do it; questions to the Minister must go through the Chair, because that is how we try to keep a balance. Some Members have only been here a few years, I know, but please try to make this work.

We have designed the policy to allow as much local flexibility as possible. That recognises that the approach in different places will require flexibility to take into account local circumstances. In practice, that means it will be for local areas, including London, to decide how they invest the money that comes through the system. However, our expectation is that there will be partnership and collaboration between local government and our regional mayors, where they exist, and with councils that are members of foundation authorities in other places.

If the hoteliers of Bournemouth are gagging to pay this tax, I can assure the Minister that those in hospitality in the New Forest are not. The Minister said that everybody will be a winner, but how can he possibly know when he cannot tell us how much the tax will be or where it will be levied?

Because here I am setting out the principle and the framework. Instinctively, the framework is that if we grow and invest in greater footfall, in a better visitor experience and in putting on events and activities that draw people in, accommodation operators benefit from increased footfall and overnight stays. If we stay as we are, some areas will really struggle to see the investment to enable growth to take place, so some places in the country may say they want to go further with the levy, and I think it is right that the Government, as part of our devolution ambitions, allow local places to make that call for their areas.

I recognise the pressure that people in the hospitality sector in York are under, but they are very clear that the levies raised in York must stay in York—not move into wider North Yorkshire. Will the Minister ensure that the levy is hypothecated to the place where it is raised, so it can be invested in the tourism industry and ensure that wider services are there to support hospitality and tourism, as opposed to in other locations?

It will entirely depend on how local leaders decide to design the scheme, which will require conversations at a local level and, I would say, give and take. The only reflection I would make—this is a personal view, because another area may approach it very differently—is that when we think about the tourism economy in Greater Manchester, where I am from, everyone thinks about how successful the city centre of Manchester is or about the rolling hills of Saddleworth and our villages and how beautiful the Pennine belt is. A visitor will pass Oldham in going to those two areas, and I think we should ask what we are doing to invest in the whole, so the whole experience right across our region sees the benefits. Again, however, these are local decisions.

Great news, Mr Speaker: the Reform Mayors of Hull and East Yorkshire and of Greater Lincolnshire have confirmed that there will be no dreadful tourist tax in their respective areas. Therefore, holidaymakers should come to these great areas to save money. Given that many areas will refuse to impose this ludicrous tax, can the Minister guarantee that he and the Government will not be tempted to impose a tourist tax nationally?

In a way, the hon. Gentleman embraces devolution. It is for local leaders to make the call for their areas and to present their record to the public, and it works both ways. If mayors and foundation authorities want to introduce the levy, they will need to make the case for it, and the success of that will need to be presented to the public when they come to vote. That is direct accountability. Equally, if authorities decide not to introduce the levy but tourism stagnates and they are unable to improve the visitor experience, they will be accountable. It works both ways.

Oxford is a great place to visit, and I hope that many Members will enjoy coming to my great city. Many tourists agree with me, and £1 in every £6 spent in the city centre is spent by a visitor. However, many local residents and businesses, while they welcome tourism, do recognise that it causes additional costs. They have told me that they want to see a levy, which would improve the local environment for tourists and local people. Will the Minister move ahead and persuade Oxfordshire county council to back a mayoral strategic authority, so that we can get on with it?

Our devolution programme is ambitious, and we want to see devolution do two things: widen across the country—I welcome my right hon. Friend’s championing of a mayor for her region—and deepen, to make sure that when mayors are in place, they have the tools and levers to get the job done. We are absolutely up for having local conversations to progress devolution.

As you are well aware, Mr Speaker, 5 million people visit the beautiful East Yorkshire coastline every year, so any tourism tax would have a devastating effect on the local economy. The Minister says that he has developed a framework and that there is more work to do. Where there are larger mayoral areas—for example, my area of Hull and East Yorkshire—can he guarantee that any money raised in towns such as Bridlington or Hornsea will be spent there, rather than in a larger conurbation such as the city of Hull, and will he ensure that is the national framework for any mayor who wishes to introduce a tourist tax?

It sounds like there is no intention to introduce an overnight visitor levy in that area for the foreseeable future. [Interruption.] Well, who knows? There may well be a change of heart in the future.

In the spirit of devolution, I do not think it is right for a Government to impose terms and conditions in a way that prevents local authorities from doing what they instinctively believe is right for their area. But equally, they will have to present their plans through the consultation, they will have to do the impact assessment, and they will need to get local agreement. Surely the best democratic accountability framework is holding elections, and the thing about mayors is that they are directly elected and accountable to the voting public.

Meur ras, Mr Speaker. As a Cornish MP, I am incredibly proud that this Government were elected on a platform of devolution. That means trusting the decisions of local authorities to raise an overnight levy or not. I appreciate that the Opposition parties do not trust their local authorities, but no one is forcing local authorities to raise the levy. Does the Minister agree that fiscal devolution is an essential aspect of moving powers and funding out of this place and directly into the hands of local people?

I think those are really important points. My hon. Friend is a fantastic champion for Cornwall and its economy, and he also recognises that the local partnerships that are developing are marshalling around devolution in quite an interesting way. Because of the representations that he and others have made, we have included foundation strategic authorities, so a mayor is not needed to introduce the levy. I think the wider growing-out of fiscal devolution is really exciting. We cannot have devolution if local authorities do not have the resources to get things done in their areas. Business rates retention, income tax retention and the overnight visitor levy are the first steps in that package of fiscal devolution that we have been waiting quite a long time for.

Stratford-upon-Avon is one of the country’s most important visitor destinations. It attracts millions of visitors each year, supporting local businesses, theatres, heritage attractions and jobs across my constituency. The all-party parliamentary group for hospitality and tourism, of which I am a member, heard evidence that a 5% visitor levy could reduce tourism spending and employment. Will the Minister commit to ensuring that any future levy is subject to meaningful consultation with the sector and local residents, and to the transparent ringfencing of revenues for investment in our local area?

The hon. Member makes a really important point. The APPG has spent time diligently going through the arguments for and against the levy, and examining what the benefits might be. Many local authorities see the levy as a big prize, because they will be able to invest back into the local economy. I would be pleased to receive any evidence that has been gathered through the APPG.

I welcome this step towards devolution, but York and North Yorkshire is a huge mayoral authority. In order for my constituents to feel the difference, we must ensure that money generated in Scarborough and Whitby is spent locally, not in the city of York. Will the Minister consider what he can do to ensure that locally generated revenue benefits the communities that produce it?

Mr Speaker, you know full well that it takes a brave Lancashire soul to interfere in Yorkshire politics, but surely it is in the spirit of devolution that it will be for local areas to decide. As I said, I spent the summer near Richmond, in north Yorkshire, and had a fantastic experience. Thinking about access to public transport and the wider visitor experience, there is no part of the country that would not benefit from more investment.

I think the Government’s plans for a tourist tax will be terrible for the visitor economy, terrible for jobs and terrible for spend on the high street. The Minister thinks it will be great. We can clear this up if the Minister will include in his visitor economy growth strategy a full analysis of his plans and publish it before he brings in his detrimental tourist tax.

The hon. Gentleman seems to be getting ahead of the review that he has just asked for and predetermining that the levy is somehow not a positive measure. Because this is a framework and is about devolved powers, clearly the impact assessment has to be done in areas where the levy has been introduced. Until we know where it has been introduced, we cannot do a national assessment of the impact.

The Edinburgh festival fringe in my constituency is a world-class tourist attraction—I know that the House understands this, because I bumped into about half of my fellow Members in August. Edinburgh is the third biggest ticketed event in the world after the FIFA world cup and the Olympics. This summer, Edinburgh became the first place in the UK to implement a city-wide visitor levy of 5%, which will raise £50 million to invest in the local economy, benefiting tourists and locals. Despite its implementation, we saw ticket sales increase by 8% this year. It is still a work in progress, but will the Minister meet me and officials from Edinburgh to understand our learning from the visitor levy? We are happy to invite any sceptics as well.

I would be pleased to do that. In a sense, what my hon. Friend says stands in stark contrast to what we have heard from the Opposition. In Manchester, where there is a voluntary scheme through the business improvement district, there is agreement that if we have money to invest in the visitor experience and in putting on events that draw in even greater footfall, everyone benefits in the end. I would be very happy to receive the evidence base that he talks about.

Those working in hospitality across Yeovil have told me that a tourism tax will impact jobs, growth and our high streets. We want to encourage tourism in our area, not decrease it. What steps is the Minister taking to strengthen support for rural hospitality, and will he meet me and representatives of the sector to talk about how we can boost tourism in rural Somerset? We need a commitment that local residents and businesses will be consulted before any decision is made.

The hon. Gentleman says that this measure will impact on jobs, growth and high streets. We believe it will do so in a positive way, because if we create more demand by increasing footfall through better investment and an improved visitor experience, that will create more jobs and more growth. If we have money to invest in our places, particularly our town centres and high streets, that will be better not just for visitors but for the people who live there. This policy cannot be seen in isolation; think about the millions of pounds that has been spent on Pride in Place and our future high streets fund, and there is more investment to come. We are reinvesting back into many parts of the country that have been neglected.

You are not in your usual place, Chris Vince, but I can still see you.

I was going to start by making a joke about always being picked last, Madam Deputy Speaker, but you have ruined it by picking me early on—thank you for that. I will try it anyway.

I am used to getting picked last in this place, but I was picked first when the new Prime Minister visited Harlow and my local pub. There, he had the opportunity to talk to Mr McMullen, the head of McMullen’s breweries, who said that this Government are doing more to support the pub trade than the previous one did. To change the subject, though, may I ask the Minister about how this tourist levy has been put in place in other G7 countries—where it has been very successful—and what he has learned from other countries?

As Members will know from their summer holidays in America, Europe or almost anywhere else in the world, some form of local sales tax or visitor overnight accommodation levy is generally accepted as part and parcel of going away. The difference here, I suppose, is that we did not believe that a flat rate would be fair or proportionate, for the reasons I have set out. A visitor levy has to be in line with the overnight rate that people are paying, to ensure low-cost family accommodation remains as such.

Order. We have two further urgent questions, a statement and lots of business, so let us try to keep questions and answers short.

If the New Forest and the Waterside were forced into a unitary authority dominated by Southampton and Eastleigh, what chance would there be of local authorities looking after the interests of rural areas?

In the right hon. Gentleman’s case, this will be led by the mayoral strategic authority. It will be for that authority to do the consultations, carry out the impact assessment and, importantly, decide on the investment plan.

Southall Broadway attracts wedding shoppers from across the globe, so local businesses welcome the overnight visitor levy as a great opportunity to get investment in the town centre. However, unlike other mayoral areas, London is not a combined authority. What can the Minister do to ensure that is reflected in the design of the levy in London, so that the mayor and London boroughs can jointly shape how it operates, and places such as Southall do not lose out because they are in London?

We accept that the London devolution settlement is different from the settlement elsewhere in England, because of the relationship between the mayor with executive powers and the Greater London Authority as a directly elected body. However, there is an expectation that all partners—including local authorities, the GLA and the mayor—will work together in partnership on this and other measures.

Nine years ago, when I was the tourism Minister, I resisted the English holiday tax. What concerns me now for Salisbury—where people like Brian Currie are investing millions of pounds in the Cathedral hotel—is the impact that tax will have on domestic tourists. People in this country who cannot afford to go abroad will now be burdened with additional costs to have a few days away in England. Has the Minister understood the distribution of the burden of this tax and the impact it will have on people in this country?

The right hon. Member is making the case for the importance of the percentage rate approach. It is fair to say that large parts of our tourism economy provide a low-cost but good-quality family experience, and with a percentage rate those businesses will pay proportionately less than hotels in the capital, which is right and proper. It will also be a requirement that all areas carry out an impact assessment to understand the impact on their local economies and present where the investment will go afterwards.

Any devolution of powers, investment or fiscal policy down to Cornwall is welcome. That is why I am pleased our Government are progressing to give us the power to raise a visitor levy, whether or not Cornwall council chooses to utilise it. As the Minister might expect, however, from a Member who represents an area with a significant visitor economy, my expectation is that that money should be invested not only well but to support the common goods on which businesses in that sector and the communities they operate in rely. Can the Minister assure me that the manner in which the levy will be raised will be flexible, so that local leaders can use it in a way that is appropriate to the area and the money does not recycle back into Cornwall council’s pot?

I think that is the key. Some of the tensions in the Chamber are the result of parliamentarians wanting to know the full detail as it will apply across the country, but that is not devolution. Devolution means allowing local flexibility and allowing local leaders to make choices in the way that my hon. Friend has set out.

Several times, the Minister has referenced other European countries having a tourist tax, but as my hon. Friend the Member for Torbay (Steve Darling) highlighted, those countries have much lower tax rates for hospitality overall. Will the Minister commit to reducing VAT on hospitality? Secondly, on the tourist tax, will he clarify whether the levy will be listed separately to the price of the room, so that those who use those facilities have clarity and transparency?

We are still working through the detail of the collection and reporting processes. Part of that consideration will be the presentation on bills, although let us not forget the 20% business rates support we are introducing for pubs and live music venues, which is the first step in supporting hospitality in the round.

I recently had the pleasure of visiting the Beaudesert outdoor activity centre in Cannock Wood, which welcomes 50,000 young people a year—including scouts, guides and school groups—and gives them memories to last a lifetime. It is a charity; it keeps charges low, and it worries about anything that could make its offer cost-prohibitive to cash-strapped groups. Given this Government’s commitment to expanding life chances and experiences for young people, will the Minister consider exempting groups of under-18s, to ensure that those valuable experiences do not become less affordable for them?

My hon. Friend raises a fair point, and one that I will take away.

I am sure that many of my constituents considering a UK break will look to Cambridgeshire, where the always fiscally sound Conservative mayor Paul Bristow has made it clear that now is not the time for such a tax. However, hospitality businesses across the rest of the country will be frightened by this measure—we already have two pubs closing a day, and businesses are struggling to get by under this Government’s tax burden. How low does tourism in this country have to dip, or how many businesses have to go bust, before the Treasury tells this Minister that this tourist levy must go?

In the spirit of devolution, if a mayor believes that not introducing a visitor levy is the right decision for their area, the Government will support that. To be clear, though, the last Conservative Government was not a good period for our pubs and hospitality businesses—pubs in our communities, town centres and city centres closed at a rate of knots. We are trying to say that that decline is not inevitable, and that Government working in partnership with our regions and councils can begin to turn that around.

Every year, millions of people travel through Hillingdon, to visit the country or the city of London or go to Heathrow, and stay at hotels near the airport. That creates real costs for local communities—policing, street cleaning and transport impacts—and addressing those threats to the tourist economy requires funding. As such, I support this measure, but can the Minister assure me that those issues that are often locally driven and funded will also get support in a mayoral-led system?

It will be for local areas to determine how they frame both the levy and the investment. In the case of London, the mayor will be working with the GLA. There is an expectation that councils will be collaborated with and that there will be some agreement on how that might work in practice, but as I say, it is for local areas to work through that detail.

We now have a Minister for euphemism. Let us be clear: this is not a visitor levy, but a tax on tourism. It is a tax on the staycation, a tax on hospitality, a tax on the family holiday, a tax on hospitality jobs, a tax on mobility, and—the worst sin of all—a tax on Shropshire. Shropshire tourism rejects this tax whenever it might come, directly or indirectly. Is this not another example of this Government being addicted to raising taxes?

The only things we are determined to do are to ensure that devolution means something—that local leaders must be given the tools they need to do the job at a local level—and not to accept that the decline of our towns, cities and rural communities is inevitable after our experience under the previous Government. We think there is a different way.

Many people visit Derbyshire because it has beautiful scenery and a fascinating history, but those visitors do place a strain on our infrastructure, which is why I think it is reasonable that we explore whether we continue to ask local people to foot the bill for that. However, I recently visited Drum Hill scout camp in my constituency, which welcomes many thousands of young people from quite far afield to learn fantastic life skills, and I have also engaged with organisations that provide respite holidays for disabled people. I know that local leaders can decide how to implement the legislation locally, but can we put an exception for those kinds of groups on the face of the Bill?

As I said in response to a similar question, my hon. Friend makes a fair point about that type of accommodation, and I reflect on the work of Claire Ward as the Mayor of the East Midlands. There is a lot of focus now on creating good jobs, and for that to be in a spirit of devolution, with mayors wanting more control of what happens in their areas. This measure, alongside business rate retention and income tax retention, is beginning to address that balance.

In Cambridgeshire, the Conservative Mayor Paul Bristow, decided not to implement this tourism tax. That is incredibly important, because we have recently adopted the local visitor economy partnership as we seek to make gains from the creation of Universal Studios just down the road. My hon. Friend the Member for Mid Bedfordshire (Blake Stephenson) is looking to bring in an LVEP in Bedfordshire, too. Why does the Minister think that a tax like this would benefit somewhere like Cambridge, when we clearly do not think that it will? What else is he doing to support communities such as mine in Huntingdon, where we are looking to build a visitor economy to take advantage of the opportunities that Universal Studios can bring?

This Government have given support to Universal Studios, because of the economic benefit that will bring. It will also be a nice thing for visitors from across the country to be able to go there and enjoy that. It will have a wider impact on the local economy that will benefit hospitality, leisure and accommodation providers. In response to the point that the hon. Gentleman makes about place-based investment, this Government have an ambition to ensure that every town centre and every high street realises its full potential. That needs investment, too, and he will see that not just in his place, but right across the country.

As the proud Member of Parliament for Heywood and Middleton North in Greater Manchester, I, too, want to see the prosperity of the centre flow out into towns like mine, which are just as deserving of economic development and cultural regeneration. Does the Minister agree that extending further revenue-raising powers to our mayors will accelerate the regeneration that we need to see in our constituencies, just as much as in the city centre?

My hon. Friend is a fantastic champion for her place, and she also recognises that within our city regions, as much as everywhere else, every community has a role to play. She will know the work done by the fantastic Middleton Arena. With more investment and more footfall, all our places—whether Middleton, Oldham or Greater Manchester more widely—can do even more.

As vice-chair of the all-party parliamentary group for hospitality and tourism, I have sat through several evidence sessions on this visitor levy, and I have yet to hear any operator in the sector say that they support it, so I do not understand to whom the Minister has been talking. A caravan park operator said that if numbers go down in the off-season, they will only be able to be open in the high season, which has a knock-on effect on jobs, the local pub and the local café. It has a ripple effect across the local economy. The Minister talks about growth, and we need growth in the sector, because young people primarily are employed in hospitality. Such jobs are vital for young people. Can he tell me in what world he sees the tourism and hospitality industry growing under this visitor levy?

For the reasons I have stated many times before, if we invest in and grow our tourism and hospitality economy, that will generate more footfall, people will enjoy their stay more, and that will create more jobs, including for young people.

Whether it is parents requiring a hotel stay while their four-month-old daughter has neurosurgery, or a new mother requiring a hotel stay to recover from a pulmonary embolism, in both those cases a tax would be incurred for a stay they wish they did not have to do. Those are not hypothetical examples; I was both. Will the Minister please mandate from the Dispatch Box that anyone seeking medical treatment for themselves or their children—sometimes that can be months at a time at Great Ormond Street—will not have such a tax imposed on them and their families?

I can certainly commit to look into it and to respond to the hon. Member in writing.

Businesses in Devon have told me of their concern about this proposed visitor levy, including Littlecourt Cottages in Sidmouth. They point out that the tourist footfall might decrease, not just for the cottages, but for the restaurants, the attractions and the shops in the local area. This tax has been dreamed up on the basis of what it will do for cities that see a higher proportion of wealthy overseas visitors, has it not?

Of course it has not. First, devolution will be rolled out across the whole country, and significant rural areas are already covered by mayoral strategic authorities. That roll-out will include foundation strategic authorities, which covers places such as Cornwall. As part of the next stage of devolution, we are seeing a grow-out across the south of England and the east of England that will see more coverage. Fundamentally, it is for local leaders and local mayors to get together and work out what is right for their area.

At the weekend, I had the pleasure of joining Cleveland scouts and seeing at first hand the fantastic work that scouting does to give young people confidence, practical skills, friendships and opportunities they might not otherwise have. Can the Minister reassure those young people and their families that this Government are not seriously proposing to tax a scout for pitching a tent? Can he confirm that scout camps and other charitable youth residentials will be exempt from his holiday tax?

That question is in line with a number of other questions that have been asked about youth experience accommodation. I have committed to go away and look at that.

Many of my constituents in Strangford and people across Northern Ireland travel to the United Kingdom for a home-based holiday. The weather is almost as good as it is in the Mediterranean. They pay for their flights or they take their vehicles on the ferry, already paying a high fee to support tourism in the United Kingdom. Why should my constituents—British constituents—be penalised twice for supporting and buying into a British holiday? What steps will the Minister take to ensure that those in Northern Ireland are not discouraged from contributing to having a home-based holiday in England?

Everybody will pay the levy, and they will benefit from the improved experience, not only in the immediate area, but in the types of events and activities that might draw in people. Where local leaders decide that the levy is right for their places, we believe that people will enjoy the wider benefits.