Visitor levy could fund tourism infrastructure, says Lord Mayor

HOBART Lord Mayor Anna Reynolds has floated the idea of introducing a visitor levy to help the city cope with the rise in tourism.

Hobart Lord Mayor Anna Reynolds has floated the idea of introducing a visitor levy to help the city cope with the rise in tourism. Picture: MATHEW FARRELL

HOBART Lord Mayor Anna Reynolds has floated the idea of introducing a visitor levy to help the city cope with the rise in tourism.

But the idea has been rejected by the state’s peak tourism body as unfair and almost impossible to implement.

Ald Reynolds said while tourism was an important part of Hobart’s future and a positive contributor to its economy she wanted to investigate the introduction of a “small” visitor levy to help Hobart City Council fund growing tourist infrastructure so the extra cost didn’t fall on ratepayers.

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She said if designed well, a visitor levy would be barely noticed by tourists but would help the council fund infrastructure such as public toilets, lookouts and shuttle bus services to Hobart attractions.

“There’s no denying that cities around the world that have tourism as central part of their economic base are starting to have strategic discussions about how to ensure the local community doesn’t have to pay for all the extra infrastructure that visitors require,” she said.

“When local government only gets about 3 per cent of the taxation revenue generated by the community we simply can’t afford to do everything we want to do.

Lord Major Anna Reynolds wants to introduce a tourist levy. Picture: EDDIE SAFARIK

“All I’m suggesting is that at some stage we convene a conversation with key players and experts in this field,” she said.

But Tourism Industry Council of Tasmania chief Luke Martin said he didn’t support a visitor levy.

“If Hobart City Council wants to raise more revenue from the tourism industry and other businesses, it can increase its commercial rates,” he said.

“I think visitor levies are unfair, next to impossible to implement and send the wrong message.

“We would absolutely oppose any suggestion of a ‘tourist tax’ on only some businesses.”

Mr Martin suggested a better idea that would raise revenue from visitors was to consider different prices for non-Tasmanians for National Parks passes.

A tourism levy has been a feature of Noosa in Queensland for some years with its council imposing a rate on all businesses in its area.

Premier Will Hodgman (left) and Luke Martin. Tourism Industry Council of Tasmania chief Luke Martin said he doesn’t support a visitor levy.. Picture: RICHARD JUPE

“A lot of Noosa’s public infrastructure is of a very high quality because they collect a levy,” Ald Reynolds said.

In September, the State Government rejected the idea of a tourism levy.