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Tourism: Covid-19
10 September 2020
Lead MP
Selaine Saxby
Debate Type
General Debate
Tags
EconomyTaxationCulture, Media & SportBusiness & Trade
Other Contributors: 38
At a Glance
Selaine Saxby raised concerns about tourism: covid-19 in the House of Commons. A government minister responded. Other MPs also contributed.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Lead Contributor
Opened the debate
Tourism is a vital part of the UK economy, especially in coastal areas like North Devon where it accounts for up to 60% of jobs and income. Despite the Chancellor's support measures announced on July 8th, including £4.6 billion in direct support through VAT cuts and the eat out to help out scheme, there are concerns about whether the sector has seen enough recovery to survive winter given recent data showing spending down by half compared to last year.
Jim Shannon
DUP
Strangford
The hon. Member for Strangford highlights that tourism is a key economic driver in his area, Ards and North Down, and asks if councils with responsibility for economic drive need additional help.
Selaine Saxby
Con
North Devon
Acknowledges Jim Shannon's intervention and emphasises the interconnectivity of various sectors affected by the pandemic. She provides data on how tourism in Devon was impacted, with a turnover reduction of £1.3 billion this year alone, and highlights the importance of focusing on tourism recovery while not neglecting other struggling sectors.
Bob Seely
Con
Isle of Wight
Supports extending the 5% VAT reduction to aid in sustaining and developing tourism economies as they enter future years.
Selaine Saxby
Con
North Devon
Thanking Bob Seely, Selaine reiterates the need for a long-term strategy that includes sustainable funding mechanisms for destination management organisations, clearer strategies from government bodies, and measures to reduce red tape, especially as the UK leaves the EU.
Kevin Hollinrake
Con
Thirsk and Malton
Supports postponing the reintroduction of VAT to alleviate cash flow pressures on businesses during the repayment period for other payments to HMRC and restart of rate payments.
Maria Eagle
Lab
Liverpool Garston
Congratulates Selaine Saxby on obtaining the debate and highlights Liverpool's reliance on tourism, which is worth over £5 billion annually. She mentions that the sector has lost almost £1 billion due to lockdown and calls for continued support for industries like events and production that cannot return to normal operations.
Greg Clark
Con
Islington North
The right hon. Gentleman acknowledges the difficulties faced by tourism and hospitality sectors, particularly in conducting business during the pandemic. He emphasises the need for a nuanced approach to support these industries beyond the end of furlough schemes.
Maria Eagle
Lab
Liverpool Garston
Ms Eagle calls on the Government not to adopt a one-size-fits-all approach towards recovery. She stresses the importance of continued support for parts of the visitor economy and tourism sector beyond October, highlighting that businesses in these sectors will still face challenges even if social distancing measures are lifted.
Neil Parish
Con
Tiverton and Honiton
Mr Parish outlines the significant economic impact on tourism and hospitality, especially in rural areas. He calls for continued VAT reduction and business rates holiday support to ensure these businesses remain viable through winter.
Arfon
Mr Williams highlights the importance of sustainable quality tourism in Wales, urging the Government to introduce a permanent VAT reduction for hospitality and advocate for devolution of power and resources. He also notes concerns over confusion regarding rules between England and Wales.
Tommy Sheppard
SNP
Edinburgh East
Mr Sheppard emphasises the critical economic role of tourism in Edinburgh, detailing severe impacts such as significant declines in air travel and visitor numbers. He advocates for targeted support to sustain businesses at reduced capacity through spring next year.
Patricia Gibson
SNP
North Ayrshire and Arran
Ms Gibson raises particular concerns about the impact on islands such as Arran and Cumbrae, urging for additional support beyond current measures to address sustainability issues in these communities.
Simon Jupp
Con
St Ives
I thank my hon. Friend the Member for North Devon for securing this debate on the tourism industry, noting the importance of the eat out to help out scheme and expressing concern over the estimated £2.2 billion loss in business turnover in the south-west due to the pandemic. The speaker highlights the need for further support, such as an extension of the temporary 5% reduced VAT rate.
Dave Doogan
SNP
Angus and Perthshire Glens
The hon. Member emphasises the critical role of coaches in tourism, noting that they bring in £14 billion annually to the UK Exchequer and employ 40,000 people. He urges the Government to provide support for coach operators who have been hit hard by the pandemic.
Jim Shannon
DUP
Strangford
The hon. Member supports the call for help for family-owned coach companies, pointing out the dire impact on those families and their businesses due to the lack of support during the pandemic.
Dave Doogan
SNP
Angus and Perthshire Glens
The hon. Member shares an example from his constituency where a coach company, Black’s of Brechin, has been hit hard by cancellations due to the pandemic, leading to potential business closure without government support.
Paul Howell
Con
Sedgefield
The hon. Member highlights the importance of coaches in the tourism industry and urges the Government to take immediate action to prevent coach companies from going out of business, including extending finance holidays and providing protection for families whose livelihoods rely on coach travel.
Rachael Maskell
Lab Co-op
York Central
Thirty thousand people in York work in the hospitality, tourism and leisure sector. The city relies heavily on visitors with an estimated 8 million annually pre-COVID. Due to recent floods and lockdowns, many businesses remain closed or operate at reduced capacity. Three key requests: establish a walk-in testing centre for visitors, extend the furlough scheme beyond Christmas, and meet tourism leaders in York to understand necessary support for recovery.
Acknowledges the importance of tourism after growing up in New Zealand. Highlights measures taken by the Government such as business grants, tax deferral schemes, VAT cut reduction from 20% to 5%, and the eat out to help out scheme. Emphasises local support and partnership between government and community for future success.
Wera Hobhouse
Lib Dem
Bath
Celebrates Bath's tourism achievements but highlights catastrophic losses due to COVID-19, with an estimated £350 million loss in 2020. Urges for immediate support for businesses and destination management organisations, including short-term measures such as business rates holiday for English language teaching centres.
Anthony Mangnall
Con
Crewe and Nantwich
Congratulated the hon. Member for North Devon on securing the debate. Highlighted the success of tourism businesses in his constituency despite facing challenges such as rude visitors during peak seasons. Supported the Government's decision to cut VAT to 5% and called for a rebranding of VisitBritain to focus on domestic tourism. Suggested flexibility between rural and urban sectors and improved transport links to support local communities.
Matt Western
Lab
Warwick and Leamington
Congratulated the hon. Member for North Devon on securing the debate. Focused on domestic tourism in his constituency, mentioning Warwick Castle and its economic significance. Called for targeted support such as extending furlough schemes and VAT cut beyond January 2021, suggesting a permanent reduction to 10%. Emphasised inconsistencies in Government policy towards coach companies compared to airlines.
James Wild
Con
North West Norfolk
Congratulated the hon. Member for North Devon on securing the debate. Highlighted tourism's importance to west Norfolk’s economy and the disproportionate impact of lockdowns on young people in the sector. Praised fiscal measures like VAT cut and business rates holiday but called for further extensions. Encouraged staycations and reduction of red tape, supporting flexible rules for farmland use. Advocated for Norfolk and Suffolk to be prioritised as potential tourism zones.
Alistair Carmichael
Lib Dem
Orkney and Shetland
Picked up on the point about reduced VAT rate, suggesting it should be extended beyond January or February of next year. Argued that reliable data from a significant period at reduced VAT rate would settle the Treasury's objections. Highlighted hoteliers' frustration in rebuilding their businesses due to lack of control over necessary factors.
Alistair Carmichael
Lib Dem
Orkney and Shetland
Emphasised the importance of Government-provided services like NorthLink Ferries for island and coastal communities. He called on government to give these communities more control over rebuilding their visitor economy.
Nickie Aiken
Con
Central London
Celebrated the debate's significance in highlighting tourism challenges, noting the critical role of cultural and leisure sectors in central London. She praised government support like Eat Out to Help Out and urged MPs to promote local attractions.
Wendy Chamberlain
Lib Dem
North East Fife
Highlighed the plight of tourism businesses such as tour operators reliant on foreign visitors, detailing how financial support has kept them afloat but future support is crucial to their survival.
Jerome Mayhew
Con
Broadland and Fakenham
Praised the Government's interventions during the pandemic, particularly mentioning VAT reduction for hospitality and leisure. He called for continued support and adaptation in the tourism industry to thrive post-pandemic.
Alex Sobel
Lab Co-op
Leeds Central and Headingley
The speaker outlined the economic impact of the pandemic on the UK's tourism sector, noting a forecasted £68.8 billion loss in revenue for 2020, resulting in over one million job losses. Sobel also highlighted the disproportionate effect on coastal towns and advocated for continued support through targeted extensions to furlough schemes.
Nigel Huddleston
Con
Droitwich and Evesham
The Minister thanked Selaine Saxby for securing the debate, acknowledged the importance of tourism across the UK and expressed readiness to engage in further discussions with Members who were unable to contribute due to time constraints.
Steve Double
Con
St Austell and Newquay
Steve Double thanked Nigel Huddleston for his efforts supporting the tourism sector over recent months, praised businesses that provided emergency accommodation during lockdowns, and invited the Minister to visit Cornwall.
Nigel Huddleston
Con
Droitwich and Evesham
Acknowledges the importance of the tourism sector, despite challenges. Mentions government intervention measures such as VAT cuts, business rates relief, grants, loan schemes, and support for destination marketing organisations. Highlights positive signs in hotel occupancy rates and self-catering cottages but notes city areas continue to struggle due to reliance on inbound and business travel.
Dehenna Davison
Con
Unnamed Constituency
Invites the Minister to visit Barnard Castle in her constituency to see the tourism boom it has experienced this year.
Duncan Baker
Con
Unnamed Constituency
Expresses gratitude for government support and invites the Minister for a Cromer crab sandwich. Raises concerns about last night’s announcements affecting larger holiday lets under the six-person limit rule.
Rosie Winterton
Lab
Unnamed Constituency
Orders Members to speak through the Chair, cautioning against referring to the Minister directly as 'you'.
Peter Aldous
Con
Unnamed Constituency
Asks for favourable consideration of Visit East of England’s bid for Suffolk and Norfolk to be a tourism zone.
Martin Vickers
Con
Brigg and Immingham
Requests further extension of support measures. Raises specific concerns about the bonded coach holidays scheme affecting bus and coach operators.
Selaine Saxby
Lab
Unnamed Constituency
Thanks the Minister for his encouraging words and expresses willingness to work with him and his team to nurture recovery in the tourism sector. Acknowledges support from the Backbench Business Committee, fellow Members of Parliament, and those who could not attend.
Government Response
The Minister thanked Selaine Saxby for securing the debate and acknowledged the importance of tourism across the UK. He expressed readiness to engage in further discussions with Members who were unable to contribute due to time constraints. Describes government intervention measures including VAT cuts, business rates relief, grants, loan schemes, and support for destination marketing organisations. Emphasises the ongoing monitoring of the situation with plans to extend planning conditions on caravan parks and camp sites.
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