Welsh Government faces backlash over holiday accommodation licence plan

The Welsh Government’s plan to introduce a statutory licence for tourist accommodation providers has met with strong resistance from the industry and the public, according to a consultation report.

The report, which summarises the feedback from 1,595 respondents, reveals that 65% of them opposed the proposal, citing various concerns and criticisms.

Some of the main arguments against the licence scheme were:

• It would impose unnecessary and costly administrative and financial burdens on accommodation providers, especially small businesses and rural operators.
• It would disrupt the existing competitive and efficient market for visitor accommodation, which already offers a range of choices and prices for consumers.
• It would not achieve its stated objectives of creating a level playing field for accommodation providers, enhancing consumer confidence, and improving standards and quality.

‘Urging members to ensure their voice was heard’

Emily Church, a policy and engagement adviser at the Country Land and Business Association (CLA), said: “CLA Cymru engaged with rural holiday accommodation providers in physical and online events, we produced a video and further resources urging members to ensure their voice was heard in the consultation process.

“The subject was debated in our national policy committee, Polisi Cymru, and our four branch committees.”

She added: “We opposed the proposal, but do see value in an industry-run, economical registration scheme, beneficial for the sector, government and customers.

“This could achieve many of the Welsh Government’s objectives.”

Disagreed that the licence scheme would ensure a level playing field

The report also shows that 61% of respondents disagreed that the licence scheme would ensure a level playing field, 64% disagreed that it would enhance consumer confidence, and 47% opposed an alternative option of a registration scheme.

Also, 57% of respondents disagreed with the proposed hybrid delivery model, where some aspects of the scheme would be managed nationally and others locally.

The consultation report suggests that the Welsh Government will have to reconsider its approach and address the issues raised by the respondents before proceeding with any legislative changes.

The report also acknowledges that further engagement and consultation with stakeholders will be necessary to develop a more acceptable and effective solution for the tourism sector in Wales.

‘Holiday accommodation providers and stakeholders have lost confidence’

Ms Church said: “Many holiday accommodation providers and stakeholders in Wales have lost confidence that the Welsh Government takes onboard the views of those who are daily operating in the industry following some turbulent years.

“The Welsh Government says it will reflect on the findings from the published report and will continue to collect views on this topic.

“The Government has confirmed it will provide an update later in the year setting out the proposals for how it intends to take the scheme forward.”

She added: “CLA Cymru will continue to communicate with the Welsh Government to reflect the views of our members.”

Share This Article