MWT Cymru
  • Home
    • About Us
      • Our Members
      • Our Partners
      • Visit Wales
  • Why Join?
    • Mid Wales Businesses
      • Mid Wales Accommodation
      • Mid Wales Attraction, Activity & Event Membership
      • Mid Wales Restaurant & Retail
    • North Wales Businesses
    • South Wales Businesses
      • South Wales Accommodation
      • South Wales Attraction & Activity Membership
      • South Wales Restaurant & Retail
    • Community Tourism Groups
    • National & Commercial
    • Supplier Membership
    • Representation
    • Membership Fees
    • FAQ's
    • Testimonials
  • Marketing
    • Visit Mid Wales
    • The Importance of Destination Marketing
    • Bedroom Browser Advertising 2024/25
    • Mid Wales Visitor Guide
    • TXGB
  • Resource Hub
    • 1. MEMBERS AREA
      • Information & Support
        • GDPR
        • TV and Copyright Licences
        • Setting up Google My Business
        • Book keeping & Payroll
        • Business Review
      • Press & PR Support
        • Mid Wales Media Hub
      • Member to Member
        • Menu Request
        • Brochure Request
        • Attractions & Activities Pass
        • FREE Browsers / Maps
      • Suppliers
    • Coronavirus Advice
    • Image Gallery
    • Trade Events
    • Latest News
    • Current Projects
    • Suppliers
  • Job Vacancies
  • Contact
Join Now



Latest News

MWT Members can access additional E-news content in the Members' Area.
Members' Area

Businesses threatened by Welsh tax proposals, warns tourism boss

16/3/2022

0 Comments

 
Picture
​The Welsh Government has been warned that some businesses across Wales could be forced to close as an unintended consequence of proposed radical new taxation rules which are planned to be introduced next year.
 
MWT Cymru, which represents more than 600 tourism and hospitality businesses across Powys, Ceredigion and Southern Snowdonia, has surveyed self-catering businesses across Wales to discover how they will be impacted by proposed taxation rules, which are linked to the ownership of second homes.
 
From April next year, Welsh county councils will be given the power to increase council tax on second homes to 300%. In addition, the Welsh Government is making the rules a lot stricter on self-catering accommodation qualifying for business rates rather than council tax.
 
Currently, self-catering properties in Wales must be available to let for a minimum of 140 days in any 12-month period, and actually let for at least 70 days to qualify for business rates rather than council tax.
 
Under the proposed new rules, properties must be available to let for at least 252 days and actually let for at least 182 days to qualify for business rates.
 
MWT Cymru received 137 responses to its survey, with 66% of businesses saying they would be unable to meet the new rule of letting their properties for 182 days due to the short tourism season in Wales.
 
Several businesses said they would be forced to consider closing as they could not afford to pay 300% council tax if their local authority decides to impose that rule.
 
Val Hawkins, MWT Cymru’s chief executive, is calling on the Welsh Government to reconsider the radical taxation rules and she wants holiday let businesses to lobby councillors and Members of the Senedd on the issue.
 
She believes the new rules on holiday lets will disproportionately impact businesses in rural Wales, particularly farmers who have diversified into tourism. She fears that all rural businesses, such as shops and pubs, will suffer the knock on effect if holiday let businesses close.
 
She warned that if holiday let properties are sold, they will not necessarily boost the housing stock for local people for a variety of reasons, including being too expensive, having commercial conditions attached or being too large, small or remote.
 
Mrs Hawkins says the severity of the new taxation rules has caught the tourism industry by complete surprise and self-catering accommodation might be the unintended victim of a clamp down on second home ownership in Wales.
 
“From the responses to our survey, we know that many businesses would have to consider closing if the new taxation rules are introduced,” she said. “We hope the Welsh Government has already modelled that into their economic impact assessment.
 
“There is deep concern about the proposed taxation rules from all types of holiday let businesses, from single to multiple let units. We fear that these rules will discourage new entrants from coming into the sector.
 
“They will be unable to register for business rates until they have made their property available for at least 252 days and actually let it for at least 182 days. Then, there’s a possibility they could end up paying triple council tax at the end of the year if they fail to meet the threshold.
 
“These new taxation rules will put pressure on the tourism economy at a time when local communities across Wales are struggling to recover from the impact of the pandemic and the increased cost of living crisis. The last thing we need is a reduction in the contribution that tourism businesses make to these communities.
 
“The holiday let sector is being swept away with the rhetoric of second home ownership without any serious consideration being given to how the new taxation rules are going to impact communities in real terms.
 
“We are urging the Welsh Government to urgently reconsider the threshold for letting holiday accommodation which is completely out of step with other parts of the UK.
 
“It will be at the discretion of individual local authorities across Wales whether or not they impose the proposed new taxation rules. Surely, these local authorities don’t want to reduce tourism in their local economy as an unintended consequence of these rules?
 
“The importance of the tourism sector to the Welsh economy, particularly in rural areas, cannot be overstated in terms of jobs supported and investment.”
 
Picture caption:
 
MWT Cymru chief executive Val Hawkins.
0 Comments

Your comment will be posted after it is approved.


Leave a Reply.

    Archives

    November 2023 October 2023 September 2023 August 2023 July 2023 June 2023 May 2023 April 2023 March 2023 February 2023 January 2023 December 2022 November 2022 October 2022 September 2022 August 2022 July 2022 June 2022 May 2022 April 2022 March 2022 February 2022 January 2022 December 2021 November 2021 October 2021 September 2021 August 2021 July 2021 June 2021 May 2021 April 2021 March 2021 February 2021 January 2021 December 2020 November 2020 October 2020 September 2020 August 2020 July 2020 June 2020 April 2020 March 2020 November 2019 September 2019 August 2019 July 2019 May 2019 April 2019 March 2019 February 2019 October 2018 September 2018 August 2018 July 2018 June 2018 May 2018 April 2018 March 2018 January 2018 December 2017 July 2017 June 2017 May 2017 April 2017

    Categories

    All Coronavirus (COVID 19) Coronavirus (COVID-19) Events Industry News/Changes Marketing Member 2 Member MWT Meeting MWT Members MWT Membership Benefit MWT Project MWT Representation MWT Suppliers #RealCeredigion #RealMidWales Scam Warning Technology Visit Britain Visit Wales Wales Tourism Alliance

    RSS Feed

Find out More
Join Now
Call Now

Contact Us.

MWT Cymru
The Station
Machynlleth
​SY20 8TG

Tel: 01654 702653
​Email: info@mwtcymru.co.uk


Company Number: 2612356





​

Cookie Policy | Privacy Policy | Membership Terms & Conditions
Press enquiries: press@mwtcymru.co.uk 
>> See our Media & Press page here

​MWT Membership Helpline 01654 702653

Opening Hours:

Monday - Thursday 9am - 5pm
Friday 9am - 4.30pm

Closed Saturday, Sunday & Bank Holidays


Industry: @mwtcymru.co.uk | 
www.facebook.com/mwtcymru
​
Visitor: @visitmidwales | 
@showmewales 
| 
​
www.facebook.com/visitmidwales
​www.instagram.com/visitmidwales

Picture
MWT Cymru works closely with Visit Wales, the tourism team of Welsh Government.

​>> Top tips for working with Visit Wales


Picture
MWT Cymru are proud members of the Wales Tourism Alliance.

           >> Find out more about The WTA 

MWT Cymru
The Station | Machynlleth | Powys
01654 702653
Privacy Policy | Contact Us
©MWTCymru 2016 all rights reserved 
Company Registration Number: 2612356
 VAT Registration Number: 549824502
  • Home
    • About Us
      • Our Members
      • Our Partners
      • Visit Wales
  • Why Join?
    • Mid Wales Businesses
      • Mid Wales Accommodation
      • Mid Wales Attraction, Activity & Event Membership
      • Mid Wales Restaurant & Retail
    • North Wales Businesses
    • South Wales Businesses
      • South Wales Accommodation
      • South Wales Attraction & Activity Membership
      • South Wales Restaurant & Retail
    • Community Tourism Groups
    • National & Commercial
    • Supplier Membership
    • Representation
    • Membership Fees
    • FAQ's
    • Testimonials
  • Marketing
    • Visit Mid Wales
    • The Importance of Destination Marketing
    • Bedroom Browser Advertising 2024/25
    • Mid Wales Visitor Guide
    • TXGB
  • Resource Hub
    • 1. MEMBERS AREA
      • Information & Support
        • GDPR
        • TV and Copyright Licences
        • Setting up Google My Business
        • Book keeping & Payroll
        • Business Review
      • Press & PR Support
        • Mid Wales Media Hub
      • Member to Member
        • Menu Request
        • Brochure Request
        • Attractions & Activities Pass
        • FREE Browsers / Maps
      • Suppliers
    • Coronavirus Advice
    • Image Gallery
    • Trade Events
    • Latest News
    • Current Projects
    • Suppliers
  • Job Vacancies
  • Contact
Members Area
Join Now