Friday, August 04, 2006
Labour's Bed Tax Plan - Stupid or what?
The Conservatives launched their opposition to Labour's new bed tax plan in Bournemouth on Wednesday afternoon.
Tourism is one of the main stays of our local economy. Can you imagine how much damage will be done in Bournemouth if these plans go ahead? Put simply, there will be a levy, managed by the local authority, on every hotel stay. The hotel industry can't afford to absorb this and so will have to pass it on to their customers. Visitors won't be able to afford the additional cost and therefore are less likely to come away on holiday, causing a knock on effect throughout the town's economy, not just the hotels.
More importantly, who is going to monitor and collect this tax? Who will be inspecting hotel records to check that the amount of stays declared equals the actual total of visitors?
It would appear to me that another army of bureaucrats is going to be needed to deal with the adminstration. Surely the cost of running this scheme is only just going to be covered by the income derived?
Of course, this could be Labour's clever way of ensuring even more people are employed in the public sector. By doing so they ensure a greater pool of likely voters, scared to vote for any alternative suggesting a review of public services and cuts in bureauocracy.