In the last couple of days Stay Blackpool have been in the news advocating a formal ‘room tax’ on accommodation providers to help pay for the lights.

We think this would be unfair as it would –

1. Only be a tax on accommodation providers and not the other businesses that benefit directly (cafes, shops etc) and indirectly (suppliers, professional services etc) from the local economy.

2. Hotels who can charge higher room rates would only pay the same as others. For example, a boutique hotel, close to the front, with only 3 rooms let out at £100 a night would pay, say £30, while a 15 bedroomed hotel (let out at £40) at the top of Palatine Rd., would pay £150.

3. The tax would be difficult to gather and be a minefield to administer. So the costs of imposing the tax could make it inefficient.

Yes Hotels are already working on an alternative proposition which we believe is much fairer as it addresses the issues raised above.

We plan to make an announcement in the next few days but in the meantime please tell us what you think.

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Comments

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Hi there,
I found your e-mail very interesting as this is the first I’ve heard about it!

My first moan would be that we have now been omitted from the new proposed ‘Holiday Area’ (thus losing approx. £20k from the value of our properties). As we are not deemed to be in the new holiday area then I would refuse to pay this room tax as I am assuming it only effects those benefiting in the ‘Holiday Area’.

Secondly, I would prefer to contribute to our own lights in Charnley Road as this has a more direct impact on our repeat business.  Apart from the main hotels on the promenade, I don’t believe I personally receive that many bookings solely for the Illuminations (how else would we have been full from January 2010).

This just seems as though it’s yet another way of draining money from the small hotels when they make enough money from us you would have expected them to be helping us.

Moan over!!

Natasha Riley

Springfield Hotel
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Hi,
 
Yes I completely agree with the comments made in your e-mail, this is a difficult one as I am one of those hotels that charge £40 to £50 pounds per room. I also feel that I pay an absolute fortune in Business Rates to Blackpool Council which I am yet to work out what we actually get for it
 
However, maybe they should make the whole area car free, and make people use trams, buses or the horse and carriage or dare I say walk. Those people coming to Blackpool from the local areas would then need to park their cars in the council car parks generating revenue. or make the promenade a toll road again making the people that come drive through and drive home would have to pay, again generating revenue.
 
Cheers
 
Stephen & Lee
Mardi Gras Hotel
41-43 Lord Street
Blackpool

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Hi we donate to the illumination fund direct so we would not be happy with the tax,surely its down to your own self how or if you wish to donate
The Berkswell

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Hello, news room
any idea that hotels should be taxed to pay for the lights must be strongly opposed. we already are taxed through our council tax, hundreds of pounds every month, the lights are the only return we get for that money. the vast majority of visitors never get out of their cars they just drive through and go home, its the same with the firework nights. regards
John
Strathmore
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Dear All,

We already support the illumations by direct donation and think a tax of any kind on businesses would be unfair. Hotels and Guest houses would have to pass this tax onto their guest making it more difficult to get people to stay longer. Why not charge the vehicles that ride the lights who 99% of the time are day trippers and do not support the local business economy in any way.

New Phildene Blackpool St Chads  

Regards

John & Lorna
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I agree whole heartedly with what has already been written :

I agree a more sustainable method of funding should be sought , but EVERY BUSINESS benefits from the illumination , not just hoteliers so the cost should be shared by ALL.

One thing that is blatantly obvious to me is that a vast number of visitors to the Lights particular on a Friday and Saturday are day visitors , who potentially could visit by car see the lights and leave again with out contributing a penny to the local economy. We only have to see the stream of traffic leaving via Yeadon way aft the Lights switch on . We should be encouraging MORE of these people to stay overnight , (increasing an overnight stay price to pay the bed tax will be counter productive and increase the day visit brigade even more ).

As a radical talking point:

Why not CLOSE the prom to all but organised coach groups and taxis, Horse carriages and trams. Use green field sites on the outskirts of Blackpool as PARK and RIDE sites , charging DAY VISITORS to use the buses that would travel in relatively traffic free procession . Allow guests to get on / off the buses when and where they want , so they can spend time in Blackpool throughout the day , contributing to the local economy.

Charge DAY VISIT COACHES to travel though the lights .

Give FREE coach tours to those guests that have booked to stay in a hotel (paid from their hotel tariff)

If DAY VISITORS insist on using their car to view the light CHARGE THEM a TOLL to go on the Prom

Open the box and look at all possibilities , not just the easy option of hitting the hotelier AGAIN

Andrew Muscroft
Vernon Hotel

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Some interesting comments and a lot of them make good sense.
In these hard economic times it’s surely only a matter of time before the Council say they havnt got the funds to keep the Lights lit.
One idea I like the sound of is a congestion charge..anybody using the prom between certain times..pays (obviously taxis excluded)
What about opening it up to sponsorship also..I certainly wouldn’t mind a state of the art hologram dancing about with a “Nike” logo if it looked fantastic or driving through a huge “Polo Mint”. I wonder if this avenue has been explored?
Having said all that and agreeing with most of the comments above I will still be donating to the lights fund as my business has surely benefited from the extra 2 months that the other seaside resorts dont get.

I would like to see other business’ contribute…if we need more toilet seats because of the extra use they get then the plumbers merchants have also benefitted indirectly. It would be nice to see a logo plastered everywhere saying “I’ve contributed”

Identity witheld
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Its really simple shut off the lights with barriers to make things very fair for the illuminations why don’t thay charge day visitors to drive through the lights this could be proved by not having accommodation booked with hotels.  also a ticket provided by the hotel would prove that thay are in b and b accommodation for there time of stay and also offer a discount for people staying in accommodation on trams and buses and make the price up for day visitors walkers can see the lights for free simple as that this way day visitors would have to park there cars this adding to cost of our day visitors looking for a free visit
Mayfield Hotel
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Re your letters regarding comments from stay Blackpool.

Point 1
The comments that where written in the Gazette, where Mrs Smiths views and opinions. At NO point did she say they where the views of the members of Stay Blackpool.

Point 2
The Council and Business tax’s paid by residents, when broken down as the leaflet from the council, Does not have a line direct for the
Illuminations.

Point 3
If/When there is NO money for the council to put on the lights, where will the town be then? The season comes to an end at the August Bank Holiday. Meaning, shops,cafes,pubs,venues,attractions close. More unemployment,for the town,business cease trading, Loss of council/business rates. I could go on.

Point 4
The accommodation sector groups SHOULD be working together, to get their members to give to lights, And not as, your comments on the page having a snipe at another commotion group.

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I am sorry but i think they get enough taxes of us currently and we do not get anything back in return, i have guets complaining on how bad the lights are this year and what has happened to the firework championships, everything good about Blackpool is being taken away and yet again its the dear hoteliers who are going to have to foot the bills, i for one will be struggling to put up prices as Blackpool are not providing for the public and shows in our bookins this year and not just us but hotels around us too.
Paul – Malvern
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Hi Guys,

We totally agree with you.
This particular spokes-woman of ‘all’ hoteliers should stop shouting so loudly. She does not speak on behalf of us! She give the wrong impression to the council about how well we are all doing, yet if I try to book a room in her hotel she quite often has plenty of space…… All suppliers to the hotels are complaining that their business is down, that can only be because our business is down!

Please, do speak up on our behalf and put right what this woman is destroying and provoking!
kindest regards,

Robert and Fransje Hopkins
the Novello
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we are constantly being asked by the council for money for this that and t-other-yet they can waste the money they have and have the cheek to ask us for more to subsidise their mis-spending we have said for years that if they close the promenade to traffic and make cars and coaches pay-then they would collect more-also-the time the lights are on could be greatly reduced saving even more it is advertised as the greatest free show-then change the advert-make poeple who wish to tour the lights pay for the privilege and stop ripping off small businesses and people who are desperately struggling to make a living if we are not members of Stay Britain-then surely we do not have to contribute to their ideas
Identity witheld by request
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Hiya, 
with regard to the lights debate, why don’t the council get someone to sponsor them? Surely companies such as EON, N Power, Powergen would jump at the chance?

I have to agree with the comments about the holiday areas, I’m not paying yet another tax to the council especially as my area is not seen fit to be in the holiday area. The council cane it in at every opportunity, I for one don’t want to give them anymore than I already do!!
 
That’s all!!
 
Mimi Henson
Lindisfarne Holiday Apartments
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I write with reference to the recent publicity surrounding my comments regarding the suggestion of a possible “bed tax” and would very much like the opportunity to express my point of view more fully.

It is a view given from an informed perspective being a hotelier in this town for the past 20 years trying to service the council tax, business rates, VAT, PPL, PRS, waste removal fees, the list seems endless and all other overheads incurred by two small properties, one having 3 guestrooms and the other 14 rooms, so I do know exactly what it means to be all taxed up!

However, all that being said I am very seriously concerned with regards to the future of the Illuminations.  I attend many meetings and am a member of various groups, all in connection with tourism and all discussions currently revolve around one topic and that is funding.  The bulk of the regeneration monies received in this town have previously come via the NorthWest Regional Development Agency which has, in its entirety, been scrapped and any monies we now want we have to bid for from a £1 billion growth fund that is to cover the whole of the country which basically equates to nothing so, there’s going to be no money from there.  With regards our business rates, this money does not go to the council, it’s collected by the council and forwarded to central government who gather each town’s money together and then use a formula to redistribute back so there is no extra funding for Blackpool specifically for the Illuminations and the government have drastically cut the council budgets so the council is really going to struggle to cover even the “essential services” and you must have heard that they are having to cut jobs so what on earth is going to be left for the Illuminations or any other events in the town? 

We cannot charge people for driving through the Lights as it is illegal to impose a fee to travel on a public highway.  We could reclassify the Promenade as a toll road but that would have to be all year round, 24 hrs so, personally, I don’t think that would work.  Introduce a congestion charge is maybe an idea but that could cost more to set up than it recoups as it would only be for 9 weeks of the year and I don’t believe the answer is to charge visitors as we certainly don’t want to put anyone off visiting and that may well backfire which, for me, isn’t worth the risk!  Increasing business rates wouldn’t help as I said this goes to central government and we wouldn’t get any more money back so I’m running out of council options.

Can you imagine where we would all be if the council announced that they could only afford to run the Lights for two weeks next year instead of the nine or if they said sorry, we can only run them one night a week from now on because there just isn’t the funding available.  Well I don’t know about you but that would quite simply be financial ruin for me!

Now I don’t agree with all the council says, does etc. but if they haven’t the money, they haven’t the money and all I’m wanting to do is be pro-active instead of reactive and waiting for the worst to happen.

The “bed tax” idea is never going to come into being and neither should it as it’s totally unfair and of course the hoteliers alone shouldn’t foot the bill but I’m also fed up with it being the same people who donate to the Lights.  Between my two properties we give a substantial sum, always have and always will as do a lot of other hoteliers and I must admit to thinking, yes, times are hard so why is it we all benefit but only the same few give back.  The bed tax comment was purely an “off the cuff” remark that I made more out of despair than anything else whilst discussing what we as hoteliers could do to help.  

However, what it has achieved, I hope, is to help you to understand the severity of the situation so that real thought can be given to possible, realistic ideas being put forward before it’s too late.  

If you don’t realise the severity of the situation then you won’t have chance to act and that’s all I want so I make no apologies for bringing this to the forefront of people’s minds!

I do hope you now have a better understanding of why I said what I did and the thought process behind those comments.

I really do think we need to pull together on this vital issue. 

With very best wishes

Claire
 
CLAIRE SMITH
President
StayBlackpool
01253 343901

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We are delighted to add Claire Smith’s very observed and informative letter about funding the illuminations to this blog.
 
In it Claire makes a number of very valid points about the limitations of the funding opportunities available while agreeing that the notion of a compulsory ‘room tax’ would be unfair.

But, most importantly, she makes her concern about the future very strongly and we agree with her totally. We all have to address this issue and we must do it now!

The article in the Gazette was controversial but has certainly grabbed people’s attention and got the ‘ball rolling’ on this incredibly important issue.

Yes Hotels have been working on an alternative money raising proposition and will be making an announcement very soon.  We feel this proposal is the fairest practical and realistic alternative there is – but like anything, it will mean dipping into our pockets. But, as they say, there is no gain without pain.

Yes Hotels
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Having read various recent articles about the future funding of the illuminations, it seems to me that it would be useful to know a few basic facts about what can be done & what can’t be done.
 
1. does the council have the legal power to make a “special” charge to businesses to fund the illuminations ? If the answer is no then all ideas of various ideas for taxes are irrelevant.
 
2. As a starting point, if a bed tax was introduced what level of charge would be needed. £10 per room, £100 per room ……………???????
 
3. What saving would be achieved if the illuminations were shorten, ie shortening 9 weeks to 8 weeks won’t save 1/9th of the cost but what would it save ?
 
4. The StayBlackpool president has written that the council cannot impose a charge for traffic going on the prom during the lights, but is that correct and if so is there a way of getting round that. They close the prom to traffic for “ride the lights”, so what powers do they have ?
 
best regards
 
Gordon
Hartshead Hotel
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We have been following the comments in the local paper regarding the funding of the lights.  We agree accommodation providers should make a payment/contribution of some sort (it certainly does make for an extended season) but so too should other businesses.  Other than this comment (which is no help whatsoever!) we have no suggestions.  We have sent a voluntary cheque already for this year but more funding obviously has to be raised and we shouldn’t complain too much if it becomes compulsory as we all do benefit.
 
With kind regards,
 
Jean Platt
Red Rose Holiday Flats
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In response to your email with ref to Illumination fund and the “room
tax”.

I agree with you and many other hoteliers that this is another burden of
tax on the small hotels like us.

Many people (especially the papers) think that Blackpool is BOOMING.

Yes, people are coming into Blackpool but most of them are Day Trippers
and the businesses that benefit from this is the likes of Cafe, Shops,
fast food etc..

We have been here for over 5 years and during that time noticed decline in
Occupancy levels, especially on long stays. The room rates have remained
the same if not reduced to attract more guests.

Recently, received a letter from the Council asking for Donation from the
hoteliers and also stating that contribution from the Donation boxes
placed at end of Illumination have dropped drastically. It just shows that
the visitors are not contributing towards the lights and if that is the
case and the Council cannot afford to run the lights, then they should
impose or pass on the charges to the visitors inform of the Congestion,
park and ride or similar charges. They should also consider reducing the
lighting time and only put them on at the Weekends hence reducing the
cost.

I do hope that Council will think twice before going ahead with this Tax
because in my opinion, this will ruin lots of small businesses.

Regards,
Dennis.
The Osprey Hotel.