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PUBLIC DEBATE: FURNISHED HOLIDAY LETTING RULES

August 6, 2009 4:21 PM

Holiday Cottage"Dear Nick, I refer to the recent press coverage following the Chancellor's budget statement in April and the proposed abolition of the Furnished Holiday Letting (FHL) Tax Rules. The self-catering holiday accommodation industry in Devon is essential to local tourism and self-catering is one of the UK's major industries and a big employer.

"If FHL rules are abolished then self-catering accommodation would become more scarce and expensive, and there would be a knock on effect on other tourism employment. Furthermore, rural areas such as ours are likely to suffer disproportionately as a result of this proposal.

"Holidays in the UK are more environmentally friendly than travel abroad and they benefit our local economy. If people are discouraged from taking a holiday in Devon they may well travel abroad at a significant cost to both the economy an the environment

"There could be a cost to the UK tourist economy of an estimated £200 million per year, which is far more than the Treasury first estimated, and Devon would suffer a large proportion of this, as one of the leading areas in the country for self-catering accommodation.

"It has now come to my attention from a Government oral answer in the House of Commons, that there will be an impact assessment by the Government and I firmly believe that the Treasury needs to ensure that tie issue is taken seriously and that the impact assessment looks properly at the potentially damaging effect on the industry."

James Ellis

Director

Marsdens Cottage Holidays

Braunton

Nick has challenged the Treasury and lobbied the Government with Early Day Motion 1730

See:

http://edmi.parliament.uk/EDMi/EDMDetails.aspx?EDMID=38928&SESSION=899

For Nick's comments on this issue see:

http://www.nickharveymp.com/news/000432/mp_rejects_claims_furnished_holiday_letting_rules_give_an_unfair_advantage.html

http://www.nickharveymp.com/news/000392/oppossition_to_scrapping_furnished_holiday_lettings_tax_concessions.html

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