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Brean businesses warn MP over impact of proposed ‘holiday tax’ on local tourism

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Brean tourism businesses have this week warned that a proposed Government “holiday tax” could have serious consequences for the local economy across the Burnham-On-Sea area during a meeting with Ashley Fox MP.

The Burnham-On-Sea MP met with Discover Brean, holiday park owners, caravan site operators and other tourism‑dependent businesses to discuss concerns about a potential overnight accommodation levy.

The plans for an Overnight Visitor Levy were spelled out in last week’s King’s Speech and are designed to devolve new revenue raising powers – applying to England only.

Local traders say the charge could deter families from visiting Brean, Berrow and Burnham‑On‑Sea, where thousands of jobs rely on a strong visitor economy.

Business owners told the MP that families are already struggling with rising costs, and any additional charges could push holidaymakers toward cheaper destinations. They also raised fears about the knock‑on effect on pubs, restaurants, attractions and shops that depend heavily on seasonal trade.

The meeting followed Ashley Fox’s recent visit to Burnham‑On‑Sea Haven Holiday Village, where management expressed similar concerns on behalf of one of the area’s largest tourism employers.

Businesses also highlighted that the UK hospitality sector already faces VAT at 20%, significantly higher than many European holiday destinations. They warned that adding a further levy could place extra pressure on operators already working with tight margins.

Speaking after the meeting, Ashley Fox MP said tourism remained central to the area’s economy: “Tourism is absolutely vital to Brean, Berrow and Burnham‑On‑Sea. Thousands of local jobs depend on people choosing to holiday here and support our coastal economy.”

“There is real worry within the industry that a holiday tax could put people off visiting Somerset and make it even harder for local businesses already facing rising costs. We should be encouraging people to holiday in Britain, not making it more expensive for families to visit places like Brean, Berrow and Burnham‑On‑Sea.”

He added that he would continue raising concerns with ministers and campaigning against measures that could harm Somerset’s tourism sector.

We invited Somerset Council to respond and Cllr Bill Revans, Leader of Somerset Council, says: “The recent consultation relates to mayoral strategic authorities, not councils, and there are no available routes for Somerset Council to introduce a tourism tax. I would ask the local MP to use his position to raise genuine issues affecting Somerset’s residents, communities and businesses – such as the recent removal of remoteness funding which directly impacted Somerset by prioritising urban areas for investment.”

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