3. Mr. W. H. K. Bakerasked the Chancellor of the Exchequer if, in development areas where hoteliers receive repayment of selective employment tax, he will seek to extend the same facilities to owners of snack bars on recognised tourist routes.
Mr. BakerDoes not this illustrate once again the absurd anomalies created by this tax? Will not the Government think again and abolish it right away?
§ Mr. TaverneThe hon. Gentleman's Question referred to snack bars. The purpose of the hotel concession in these areas is to attract tourists to the areas for the benefit of those areas by enabling hotels either to lower prices or to improve facilities and services. Without disrespect to snack bar owners, people do not make up their mind about where to spend a holiday by looking at the snack bars which are available.
§ Mr. MaclennanWould not my hon. and learned Friend agree that this is an unworkable distinction and that it is the sum total of the facilities in the areas which are considered by tourists and not the existence of certain types of hotel?
§ Mr. TaverneClearly, the services which hotels can offer are an important part in the decision which tourists make about where to go.