Andrew Wilson: Regional Tourism NZ Chair on the call for a nationwide bed tax

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The Mike Hosking Breakfast 2 min 2 speakers 4 chapters transcribed 3 months ago
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What is the call for a nationwide bed tax about?

Mike Hosking 0:00
Bed tax debate's been reignited this morning in alliance of tourism leaders and mayors. They're calling for an all-of-government approach, so the argument is visitors should help fund the infrastructure they use, not a new argument. Of course, Andrew Wilson is the chair of the Regional Tourism New Zealand and is with us. Andrew, morning. I talked to Luxon about this a week ago because I came back from New York and they tax you, as I'm sure you're well aware, in New York for everything. I mean, you breathe you to get taxed for it. So I don't know why they're not doing it here. He said they're looking at it. Do you think they are? And do you think you've got some sort of buy in from the government or not?

How do tourism leaders justify a bed tax for infrastructure?

Andrew Wilson 0:32
Look, I think we're really hopeful that the messaging seems to be softening around that. And, you know, certainly the rationale for us coming out today on this was urging, I guess, all the political parties to get in behind this. So when we get into the first term of the next government, we don't sort of flip flop around again. We actually get on with it.
Mike Hosking 0:50
What's the counter argument? I can't understand it. Apart from I don't want to incur more costs and, you know, you might put people off coming to the country.
Andrew Wilson 0:57
Yeah, look, that seems to be the core of it. I think there are, you know, there's obviously concerns with any new funding mechanism that it gets used and abused and, you know, people see it as being a bit of a, you know, a slush fund. I think, you know, what we're calling for is a modest increase that, you know, benefits back in destinations for the good of tourism.

What concerns are raised about implementing a bed tax?

Andrew Wilson 1:18
You know, certainly none of us want to see tourism growth curtailed. We want to see continued growth. So any charge needs to be modest in line with that.
Mike Hosking 1:26
Yeah, but that's, I suppose, part of the counter-argument, isn't it? When you say a modest charge, once you've got a charge, the modest becomes more modest, modest increases. Once you start a charge, it never ends, does it?
Andrew Wilson 1:36
Yeah, look, and I think that obviously has to be part of the legislative process, and it is part of the call about why we should have a single national approach to this, so we can put those guardrails in place to make sure that the charge remains modest over time.
Mike Hosking 1:49
How would you run it specifically? Would it just be a simple bed tax, or would you have a strain of taxes depending on where you were and what you needed, etc. ?

How would a nationwide bed tax be structured and managed?

Andrew Wilson 1:58
Look, our opinion is that it should just be a simple bed tax applied once at a single rate across the country. We shouldn't allow a patchwork of different regimes to emerge. You know, that way you're keeping the cost of collection down, you're making it simple for the visitor, you know, and you put in the necessary guardrail around what it's collected for, what it gets spent on and so forth.
Mike Hosking 2:21
Do you reckon it's an election issue or we don't care enough?
Andrew Wilson 2:24
Good question. I mean, I think across the tourism sector, you know, we'd probably say it's an election issue, but, you know, I think we're mindful that there's a whole lot of issues that the government will want to be debating.
Mike Hosking 2:35
That is true. Nice to talk to you, Andrew. Go well.
Andrew Wilson 2:40
Chair of the Regional Tourism New Zealand, Andrew Wilson.

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