Tourism VAT could boost Derry's economy by £4.6m: Durkan

The British Chancellor of the Exchequer George Osborne is being called to cut VAT on tourism from 20% to 5% in next week’s Budget – which according to figures released today by the Cut Tourism VAT campaign - would result in a £4.6m boost to Derry’s economy.

The call comes from Foyle SDLP MP Mark Durkan who said a reduction  of VAT on travel and tourism would make a “huge difference to Derry” and result in extra .

Mr Durkan said: “That is why I tabled the original parliamentary motion on VAT reduction in 2011, and an amendment in the Budget calling on the Chancellor to reduce the VAT rate to help our hospitality sector.

“Irish Finance Minister Michael Noonan has also stated recently the real economic benefits from the VAT concessions he introduced for the tourism sector in the south.

“I am therefore supporting the Cut Tourism VAT campaign and will be pressing the Chancellor to give our local tourism sector a well-deserved boost.”

Graham Wason, Chairman of Cut Tourism VAT, said: “International competition for tourism is increasing while the UK’s share of the global tourism market is declining – and I am delighted that Mark Durkan is supporting our call for an urgent cut in tourism VAT which would boost the tourism industry and wider economy in Derry.”