We’ve reviewed the proposed visitor levy and identified several key issues that we believe require further discussion and analysis. Below, we outline the key observations from the bill, questions it raises, and the significant concerns we hold as an industry - Please get in touch if you agree or disagree with any of these points, or if you have additional points you would like MWT to make the Senedd aware of [email protected] 

Key Observations from the Bill

1. Minimum Charge Levels:
   • min £1.25 per person per night for serviced/self-catering accommodation (currently no exclusion for children/babies) 
   • min 75p per person per night for camping (currently no exclusion for children/babies) ​
2. Local Authority Discretion:
   • Each local authority can choose whether to implement the levy.
   • This could result in competition and confusion between councils and among visitors.
     
     
3. VAT Applicability:
   • The levy is VATable, meaning VAT-registered businesses will have to add VAT to the levy.
     
     
4. Potential for Premium Charges:
   • Local authorities have the option to apply a 'premium' on the levy.
     
     
5. Collection and Penalties:
   • Businesses will be responsible for collecting the levy and remitting it to the Welsh Revenue Agency (WRA).
   • Penalties include £300 for non-registration and £5,000 for late payments.

Key Questions

1. Registration Accuracy:
   • How will an accurate register of businesses be maintained to ensure a level playing field?
   • What guidance or measures will be included in the upcoming licencing scheme? and why isn’t this being introduced first?
     
     
2. Revenue Projections:
   • The bill estimates £33 million in revenue if all 22 local authorities implement the levy.
   • This seems like a very small amount across the whole of Wales.
   • How was this figure calculated, and is it realistic given the administrative and enforcement costs?
     
     
3. Enforcement Responsibilities:
   • Will enforcement fall to the WRA or local authorities?
   • What are the associated costs, and how will these be managed?
     
     
4. Public Perception:
   • How will the negative PR around this levy, particularly in the national press, be addressed?
   • How will the "Wales is not welcoming visitors" narrative be countered?
     
     
5. Use of Funds:
   • How will local authorities allocate the additional revenue?
   • Local authorities already receive additional core funding based on increased visitor population, how will this new levy differ, and what will happen to the additional funding they currently receive?
6. Visitor Transparency:
   • How will businesses communicate the levy to visitors, and what resources will be provided to avoid misunderstandings?

Industry Concerns

1. Unfair Impact on Smaller Businesses:
   • The levy disproportionately impacts budget accommodations, such as camping.
   • For example, a family paying £25 per night at a campsite faces a much higher percentage increase than a hotel guest paying £300 per night.
     
     
2. Impact on Rural Economies:
   • Mid Wales' rural economy is reliant on small, independant, family run businesses 
   • If businesses close due to the levy, the ripple effects on local economies, market towns, and job security could be negatively impacted
     
     
3. Public vs. Private Sector Dynamics:
   • The levy anticipates private sector job losses (up to 700) with an increase in public sector roles.
   • Wales already has very high levels of reliance on public sector jobs compared to the rest of the UK. Is this sustainable?
     
     
4. Loss of Visitors and Businesses:
   • Experiences in Scotland show domestic visitor numbers dropped after similar measures.
   • If businesses decide to close due to the cumulative effect of government policy changes (UK & Wales) will the loss of accommodation options deter visitors and impact inward investment?
     
     
5. Generational Impacts:
   • With depopulation issues in regions like Ceredigion and Gwynedd, how will this levy impact efforts to retain younger residents and sustain local economies?
     
     
6. Administrative Burden:
   • Smaller businesses, particularly those without dedicated administrative staff, could face challenges in collecting, reporting, and remitting the levy

Additional Considerations

1. Economic Feasibility:
   • Tourism supports a wide ecosystem of businesses. What analysis has been done on the potential knock-on effects of reduced visitor spending or business closures in rural areas?
     
     
2. Support Mechanisms:
   • What support will be available to businesses, such as training or financial aid, to transition to this new system?
     
     
3. Environmental Implications:
   • Without earmarking funds for sustainable tourism projects, the levy risks being perceived as another tax rather than a genuine effort to improve the sector.

Call to Action

While the levy might be manageable in urban areas like Cardiff or Swansea with large hotels and events, it poses a significant threat to fragile rural economies like ours in Mid Wales.

We will be urging Senedd members—both immediate and regional representatives—to carefully consider the immediate or potentially generational impact of this decision. This bill feels rushed and lacks the foresight necessary to address the unique challenges of rural areas. Wales' tourism sector, already under pressure, needs support, not additional burdens.

....but we need your help! Please ensure that you complete the official consultation document by the 10th January (link here) to make your voice heard from an individual business perspective.

Please also provide us with your feedback. Zoe will be compiling written evidence for the finance committee by the middle of January and will be presenting oral evidence to the committee in February. 

Many members will be aware that Welsh Government has released a statement regarding a new Bill to give local authorities the option to introduce a visitor levy in their area. Read this statement here.

The Visitor Accommodation (Register and Levy) Etc. (Wales) Bill has been referred to the Finance Committee for Stage 1 scrutiny of the general principles of the Bill.

MWT Cymru has been invited to provide evidence at the Senedd about the levy.

We need your help - please share your views

1) Send us your feedback by 3 January 2025, to enable us to include your views in our written evidence.

2) Respond to the Consultation directly

The Committee has issued a general call for written evidence by 16:00 on 10 January 2025.

Can all members also please respond to the online consultation by this date. ​

​

The National Cyber Security Centre (NCSC) has launched My Cyber Toolkit, a free resource designed to help SMEs strengthen their defenses against cyber threats. Developed with input from small businesses, the toolkit provides practical, step-by-step guidance that addresses common online risks. Learn more here.

The NCSC also provides tailored advice for SMEs and sole traders on reducing cyber risks, including guidance to improve cyber awareness and create a tailored action plan to enhance security.

​PIWS is running a FREE online one-hour workshop for event organisers, with the aim of providing a practical foundation for creating inclusive environments for individuals with disabilities. The session covers core accessibility principles, legal responsibilities, and effective strategies to enhance accessibility in services and spaces.

​Register and choose your date for a free one-hour workshop

In addition, PIWS offers support for businesses looking to improve their accessibility, which includes reviewing access statements and providing feedback. This service is free of charge and aims to help businesses enhance their inclusivity practices. Email [email protected] and PIWS will provide feedback where necessary and suggest ways to improve accessibility details, ensuring your statement is informative and effective for visitors.

A Reflection on Our Meeting at Lake Vyrnwy: Supporting the Future of Mid Wales
By Zoe Hawkins, Chief Executive, MWT Cymru (Mid Wales Tourism)

On the 2nd and 3rd of October, we had the opportunity to attend two important meetings at Lake Vyrnwy with the Senedd's Economy, Trade, and Rural Affairs Committee. These discussions allowed MWT members and industry leaders to speak directly to decision-makers about the unique challenges facing Mid Wales.

I’d like to personally thank everyone who attended the evening and breakfast meetings,  as well as those businesses that provided feedback and shared their concerns prior to the meetings. I know it’s no small thing to step away from your businesses - especially in the current climate - and your dedication speaks volumes about the passion we all share for the future of Mid Wales.

A special thanks to Anthony Rosser and all the staff at Lake Vyrnwy Hotel for hosting the events.

Evening Discussion: Industry Leaders Come Together

The evening meeting provided industry leaders from across the region with a rare opportunity to speak candidly about the pressing issues we face. A major topic was the introduction of the 182 rule for self catering, and the proposed closure of three Natural Resources Wales (NRW) visitor centres, which could significantly impact our tourism economy. These centres attract hundreds of thousands of visitors each year, supporting local businesses and injecting vital income into our communities.

The closure of these sites exemplifies how decisions made by one department can have unintended ripple effects across other sectors, often without consideration of the broader impact. The conversations reinforced the need for greater communication between Welsh Government departments and a better understanding of how interconnected industries like tourism and farming are in Mid Wales.

Statutory Licensing and Tourism Tax

One key issue that will likely come before the committee is the introduction of statutory licensing or registration for all tourism businesses. While there is support for a registration scheme, concerns were raised about the potential shift to a full licensing system and the heavy burden it could place on small, family-run enterprises. Without adequate enforcement resources, there’s a risk that some businesses will continue to operate underground, exacerbating an already uneven playing field where compliant businesses bear additional burdens.

We support a 'light touch' registration scheme, ensuring that resources are allocated to enforce consistent regulations for all operators. Statutory licensing is also expected to act as a precursor to the proposed tourism tax, where registered businesses will be responsible for collecting this tax. If enforcement is insufficient and some businesses remain unregistered, legitimate operators will again bear the brunt of compliance.

Breakfast Meeting: Member Businesses Share Their Concerns

The following morning’s breakfast meeting offered an intimate setting for member businesses to share their concerns directly with committee members. These businesses are the backbone of our rural economy, yet they often feel the most impact from policies that don’t take into account the unique challenges of operating in Mid Wales.

The Bigger Picture: Cumulative Effects and Underinvestment

A recurring theme throughout both meetings was the cumulative effect of policies across various sectors. From recycling regulations and the 182-day rule for self-catering businesses, to energy limitations, underinvestment in infrastructure and transport links.

The closure of NRW sites is just one example of how disconnected decisions can have profound effects on our industry. It was also emphasised that Mid Wales is unique and cannot be treated with the same policies that may work in urban centres or regions dealing with over-tourism.

Our economy is fragile, our tourism season is short, and our businesses are often small and family-run. Policies must be tailored to reflect this reality if they are to support the long-term sustainability of our communities.

A Call for More Engagement

Both the evening and breakfast meetings highlighted the need for greater engagement between decision-makers and those working on the ground. True understanding of the challenges we face in Mid Wales can only be built through direct interaction, and I hope the committee took away the message that our region must be treated as a distinct area with its own set of challenges and opportunities.

More visits like this are essential to show policymakers the real issues that our businesses, communities, and industries face daily. Only by visiting the region and speaking with those who live and work here can they gain the insights needed to make informed decisions that benefit our rural economy.

As the old saying goes, "those closest to the problem are often closest to the solution." The voices of Mid Wales must be heard if we are to shape policies that support - not hinder - our future.

Looking Ahead

Once again, I want to thank everyone who attended and provided feedback. Your voices are invaluable, and it’s only through continued collaboration that we can support our industry and our communities. The decisions being made now will shape the future of our region for generations to come.

While politicians may come and go, the policies they implement leave lasting impacts on the businesses, people, and communities of Mid Wales.

As Chief Executive of MWT Cymru, I am committed to ensuring that our voices continue to be heard. Let’s keep these important discussions going, and together, we can ensure that Mid Wales remains a vibrant, thriving region for years to come.

After the success of promoted off-road cycle tourism routes such as King Alfred's Way and Traws Eryri. Cycling UK, formerly the Cyclist's Touring Club, is proposing their next promoted route explores Shropshire and the Welsh Marches.
 
"The Marcher Castles Way will be a circular route, approx 280 km long, beginning in Shrewsbury. The route will link together the best of existing promoted routes and heritage locations, offering an exciting new sustainable tourism offer in the area, and providing new opportunities for people to enjoy and connect with nature, landscape and local history."
 
Full consultation details are available online here: https://arcg.is/181SGX (with a link at the end to offer your feedback on the proposals).

Shrewsbury - Wroxeter Roman City -  Ironbridge Gorge WHS - Wenlock Edge - Brown Clee - Titterstone Clee - Ludlow - Knighton - Offa's Dyke - Kerry Ridgeway / Newtown - Montgomery - Stiperstones - Long Mynd - Shrewsbury.

 

Accommodation, attractions, tours and events can reach new customers through a broad range of distribution channels and unique campaigns, brought together in one platform.

That platform is Tourism Exchange Great Britain (TXGB), but what is it and how does it work? What are the benefits for your business?

catch up with our short webinar (recorded in August) all about TXGB, including case studies and answers to frequently asked questions.

​If you want to enable more online bookings, or become bookable online for the first time, this free 30 minute Zoom webinar is for you.

​Passcode for MWT Members: kq$3YXti

​Passcode for MWT Members: 8UM?wWH6

“The SEO and Digital Marketing webinar was very interesting and informative. Thank you! I’m in the process of updating our website so the resources shared and lessons learnt will come in very useful.”
Maria Jones, Ty Llewelyn Glamping & Camping

Links to the main resources referenced in the webinar:

Chrome plugins:
All in One SEO Analyzer
Detailed SEO

Google Trends - search for keyword trends over time.   

SEO software:
SEMRush
ahrefs (free tier available - see "Get started for free")  

LLMs (Large Language Models):
​ChatGPT (create an account to save the prompts you type in and their responses) 
Claude AI
Google Gemini AI  

⚠️ Remember if you upload documents to a LLM (like ChatGPT) to turn off the "share with everyone" setting, to stop your data being used to train the system for other people's responses. In ChatGPT this is in Settings.

"Digital strategist" prompt that we used: Act as an expert digital strategist. I want to rank for 'camping mid wales'. Look at the digital landscape for that term and make recommendations which channels I should be using.  

AlsoAsked - search term research website - find the questions people are asking about your industry. 3 free searches per day.   ​

As a result of the feedback from our MWT members and engagement at recent webinars, Jaymie and Jon are offering a unique opportunity to empower anyone keen to further their digital marketing and AI expertise.

A message from Jaymie and Jon -

We're looking to form a group to tackle the challenges faced by mid Wales tourism businesses, help you become more independent and less reliant on third parties, and so we learn more about the sector ourselves.

We're putting together a 10-week AI bootcamp which will:

• Teach you AI fundamentals, tools, and techniques
• Equip you with the skills to examine and use the data in your business
• Dramatically reduce the creation time and cost of your digital marketing
• Address real-world challenges, as introduced by members of the group​

Passcode for MWT Cymru members: gyj$?s8N

It's been a busy few weeks at MWT Cymru. Zoe Hawkins, our CEO, represents members' interests on a number of different committees and forums to ensure your voices are heard. 

Here's a flavour of some of the work we've been doing, and continue to do, behind the scenes - 

• Gwynedd & Eryri 2035: Strategic Partnership Board
  This sets out principles and objectives for 2035 relating to the new tourism strategy and inputs into the evolved destination management structure and work plan, and looks for ways that tourism and local communities can work closer together. We are delighted to attend these meetings to represent the Meirionnydd area.
  
  
• Caravan & Camping Forum for Wales
  We attend this twice yearly forum to connect with this important sector. 
  ​
• Economy & Rural Affairs Committee
  As per Zoe's recent email, the committee is meeting in Lake Vyrnwy this autumn and Zoe is assisting the secretariat to co-ordinate invitations to meet with committee members. This is a chance for a small group of businesses to share personal experiences and highlight specific challenges impacting our businesses and communities. If you are interested in attending and supporting MWT's efforts at this event, please email [email protected]
  
  
• NRW Visitor Centres Closures
  MWT Cymru, The Mid Wales Regional Tourism Forum, and Wales Tourism Alliance have issued a joint press release to highlight concerns about the closure of high profile visitor centres currently managed by Natural Resources Wales, and written to the Chief Executive of NRW. A meetings has taken place with NRW and discussions are ongoing.
  
  
• Business News Wales – Tourism Podcast
  Zoe also participated in a ‘State of the Sector’ Business News Wales podcast as part of Wales Tourism Week with Suzy Davies (Wales Tourism Alliance Chair) and Jim Jones (North Wales Tourism) – link to podcast https://businessnewswales.com/tourism-wales-podcast-guide/
  
  
• Bank of England:
  MWT Cymru will be to taking part in a virtual ‘off the record’ Round table event this month.
  
  
• Member events / webinars:
  It's been great to see so many members joining us for our virtual webinars in recent weeks, with a range of guest speakers focusing on important topics including working with the Visit Wales Travel Trade and Business Events team, an introduction to AI, improving your digital marketing and SEO, and a focus on furnished holiday lettings and the implications of the abolishment of the FHL tax regime from April 2025. Recordings have been shared in our e-news updates and will be added to the Members area of www.mwtcymru.co.uk 
  
  
• Visit Mid Wales:
  MWT is investigating options to integrate an AI Chatbot into regional website in addition to a number of enhancement to improve bookablity options for both accommodation and non-accommodation. Our Autumn campaign includes stargazing and waterfalls themes promoted via PR/media, social channels and web.

MWT ‘How’s Business Survey’ April – August 2024

Thank you to everyone who responded to our recent 'How's Business' Survey.
 
Key Findings

• Revenue & Profitability - Margins very tight due to increased overheads / staff costs across all sectors.
• Ceredigion businesses have seen bookings generally hold steady this year - concerned that Autumn and Winter will realistically bring a decline. 
• Southern Snowdonia businesses show a decline in bookings and pessimistic about recovery this year
• Powys businesses are remaining steady year-on-year, but are seeing a decline in forward bookings for the later season

 
How’s Business Quotes:

Gwynedd Attraction: Fewer visitors generally, and increased staffing costs. Wales has always had rainy days but this issue is now a major factor in our declining visitor numbers.
 
Powys Attraction: Restrictions on growth such as car parking and infrastructure are all having a huge effect. The business continues to grow, but between lack of space, a LA that has confused and uncoordinated strategic plans where social housing trumps tourism expansion/development
 
Ceredigion Attraction & Accommodation: Fewer overseas visitors. Labour and general costs shot up this year making profitability more difficult.  What's going to happen to visitors numbers this Autumn/winter?
 
Powys Attraction: Sadly far fewer English tourists this year. Their main crumbles are the 20 MPH, feeling Wales does not really want tourists, concern of the proposed tourism tax. Many local self-catering people have sold up over the 182 day issue which again does not help attractions. Our rates will go up by £10.000 next year, and staffing costs are rapidly increasing. General feeling is that Welsh tourism is on the decline due to Welsh Government interventions.
 
Self Catering: We are farming and running this as additional business and it is getting too much.  The barn was converted to be a s/c holiday let under National Park planning regulations and we are unable to sell it for habitation so have our hands tied. We manage one cottage for a family member and they have decided to sell rather than carry on.
 
Hotel (Powys): Staffing is the biggest issue for my hotel. we're not easy to get to unless you have a car. The 20mph speed limit has now cost my business £25k in lost revenue this year alone.

Wales Tourism Alliance (WTA)
​
2024 Wales Tourism Week (WTW) Senedd Reception was held on Tuesday 16th July 24 providing an opportunity to raise awareness of the issues impacting our industry, and it was also a time to showcase the quality of our offer.

MWT Cymru attends regular WTA forum meetings to champion the industry.

​If you have any questions about the representational work we do at MWT, please email [email protected] ​