§ 17. Mr. G. Campbellasked the Secretary or State for Scotland whether he will now act on the recommendation in the annual report for 1966–67 of the Scottish Tourist Board that the adverse effect of the Selective Employment Tax on the tourist industry required immediate re-consideration?
§ 38. Mr. Youngerasked the Secretary ofState for Scotland what representations he has received from the Scottish Tourist Board concerning the effect of Selective Employment Tax on the success of that industry; and if he will make a statement.
Dr. Dickson MahonMy right hon. Friend received written representations in June, 1966, and the Board also mentioned this matter in its Annual Report for 1966–67. I have nothing to add to 1713 the Answer which was given to the hon. Member for Moray and Nairn (Mr. G. Campbell) on 26th July about action on these representations.—[Vol. 751, c. 144–5.]
§ Mr. CampbellDoes the Minister really think that the change for part-time workers, which was urged strongly from this side a year earlier—before the tax came into effect—is all that is required? When will he take effective action to relieve the Scottish tourist industry of the burdens imposed by this Government?
§ Dr. MabonThe hon. Member tends to exaggerate the position in respect of the tourist industry in Scotland. We have had clear indications, not only from individuals but generally, that this has been another good year for tourism. We are always prepared to look at the effects of the application of the S.E.T. as witness the concession—as it has been called—to which the hon. Member has referred.
§ Mr. YoungerSurely the Minister has been made aware of the fact that the entire tourist industry is up in arms about the effects of this tax. If he has only been made aware of that, surely he realises that the greatest step he could take would be to suspend this tax for this winter, in order to prevent people being laid off and adding to the pool of unemployed.
§ Dr. MabonTaxes are like sin; we are all against them. I can understand the tourist industry being annoyed about this, but the representations that we have had lately have been few, no doubt because hoteliers and others in the tourist industry have been busy catering for the large numbers of tourists coming here despite the tax.
§ Mr. David SteelDoes the Minister realise that the loss of revenue accruing to the Government by the abandoning of S.E.T. would be more than offset by the increase in foreign earnings which the increased capacity of the Scottish tourist industry would bring?