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Banks plan tourist tax for London
By Ben Leapman Tourists would be stung for millions of pounds in new taxes under plans by Tony Banks to raise money for London's mayor. The former sports minister, favourite to become Labour's candidate for mayor, will urge the Government to grant new taxraising powers for City Hall. A hotel room tax would be modelled on schemes in Greece and elsewhere, where tourists pay a surcharge on top of their bill. New London casinos would be forced to bid for licences from the mayor, while £600 million a year paid in airport taxes by passengers at Heathrow would be diverted from the Treasury to city hall. A new lottery would also raise extra cash for projects in the capital. All the schemes would need the approval of the Chancellor - but Mr Banks believes that as Downing Street's choice for mayor, he would be best placed to win concessions. However, taxing visitors would infuriate
London's tourist industry. |
