The British Holiday & Home Parks Association (BH&HPA) has issued a stark warning following the Budget.
It has accused the Government of failing to support a sector that underpins regional economies and delivers thousands of jobs across the country.
Holiday parks say yesterday’s announcement to allow tourism levies in England is a serious misstep.
BH&HPA warns that a new tax on visitors will push up the cost of domestic holidays, deter families already under financial pressure and hit coastal and rural communities that depend heavily on tourism spending.
The trade association, representing a sector that generates £12.2 billion in visitor spending, is also dismayed that Ministers have only made minor amends to the proposed changes to Inheritance Tax rules by allowing spousal sharing.
BH&HPA – which is set to relaunch as HARPA in January – has cautioned that these proposals place long-standing family-owned parks at real risk, threatening business continuity and the livelihoods they support.
Rising employment costs across the industry continue to squeeze operators’ ability to recruit, retain staff and invest in the future.
Fully funding the training schemes for young apprentices hired by small and medium enterprises is one small step towards supporting parks operators.
Debbie Walker, Director General of BH&HPA, said: “Today’s Budget offers little reassurance for holiday and residential parks businesses that are vital to regional economies.
“Yesterday’s decision to allow tourism levies in England is deeply disappointing and risks making domestic holidays less affordable for families at a time when our coastal and rural communities need greater support.
“We are equally concerned by the lack of any serious changes on Inheritance Tax proposals, which continue to place family-run parks and the jobs they sustain under real threat.
“Rising employment costs are adding further pressure across the industry, constraining parks’ ability to recruit and invest.
“We want to work constructively with Government to find solutions that secure growth, protect jobs and ensure the long-term future of this vital industry. Regrettably, the measures announced today fall far short of what is needed.”
The BH&HPA is urging the Treasury to begin immediate dialogue with the sector to prevent long-term damage to one of the UK’s most important rural and coastal industries.
