How to Start & Run a B&B BandBED2eBook-1 | Page 62

Like most people, we don’t usually celebrate on budget day, and that particular one (on
21st March 2007) started badly. After over a year, the final report by Sir Michael Lyons
into local government finance was published – and it recommended that the
Government consider a new “bed tax” or local accommodation tax on B&Bs and hotels.
The threatened “bed tax” was what David and the Bed & Breakfast Association had
been lobbying and campaigning against since 2005, so seeing that it had been
recommended was bad news.
Just a few hours later, however, there was an emphatic response from Local
Government Minister Phil Woolas at the Department for Communities and Local
Government, stating: "We are not…inclined to focus on this area. The Government
does not intend to introduce a tourism tax."
When we read those unambiguous words, gloom turned to joy as we knew that t he
“bed tax” had been averted – at the very least for the lifetime of that Government. And
as our lobbying had already brought on board the opposition parties (Conservatives
and Liberal Democrats) to oppose the “bed tax”, the threat had receded!
Looking back, the B&B “sector” can be proud of itself, as this is possibly the first
instance where we have spoken with a combined voice and been heard by Government.
It was not the last!
The horrendous financial implications of the UK’s budget deficit, however, have meant
that the new (since May 2010) Lib-Con Coalition Government is taking a very hard look
at all areas of spend and all potential new areas of revenue. As part of that process, in
Summer 2010 a new local government finance act is being planned – so the Bed &
Breakfast Association and the rest of the accommodation industry may well need to
“dust off” its arguments against a bed tax and prepare for another battle… watch this
space!
The Bed and Breakfast Association will be keeping its members informed about the
progress of any new “bed tax” proposal, should one arise, so if you would like to keep
“in the loop” on this and other issues, go to www.bandbassociation.org.
Stags and Stereotypes - Freedom or ‘Equality’?
Despite the last (Labour) Government’s talk about not adding new burdens to those
already suffered by small businesses, their actions are the opposite: new red tape
continued to rumble inexorably from the Westminster pipeline.
Many accommodation businesses restrict availability based on age. Many B&Bs and
holiday cottage owners, for instance, refuse bookings from same-sex groups under 25.
Such a “rule” is simple, easy to understand and enforce, and probably generally
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