Kurt Geiger joins campaign to abolish Britain’s hated ‘tourist tax’
Kurt Geiger joins campaign to scrap Britain’s hated ‘tourist tax’ as boss of Europe’s largest luxury shoe maker says it’s like ‘one arm tied behind your back’
The head of Europe’s largest luxury shoe retailer, Kurt Geiger, has said that running a business in London with a tourist tax is like having an arm tied behind your back.
Neil Clifford is one of 150 business leaders calling on Chancellor Jeremy Hunt to bring back a VAT-free incentive for overseas visitors.
The Daily Mail has launched a ‘Cut the City Tax’ campaign with the backing of big names in the retail industry, including Burberry and Harrods. Kurt Geiger has over 70 stores in the UK and also sells shoes and accessories in major department stores.
But Mr Clifford said London has been placed at a disadvantage in the battle to attract foreign visitors back to the country, rather than Milan or Paris.
A concession that allowed international tourists to shop tax-free was abolished in 2021 by then-Chancellor Rishi Sunak.
The head of Europe’s largest luxury shoe retailer Kurt Geiger has said that running a business in London with a tourist tax is like ‘having an arm tied behind your back’.
Mr Clifford said, ‘You start the race further back. You have one arm tied behind your back, no matter what service you can provide or what products you have in your collection or how great your stores look. If you are 20 percent more expensive than shops in Paris, then it is more difficult.’ The current Prime Minister’s decision to scrap the stimulus had “put London so far behind in the global race to become one of the best cities to visit for tourism and pleasure” and had a knock-on effect on the rest of the country too, he believes.
And Mr. Clifford, along with other bosses, complained that this weekend’s coronation wouldn’t be as lucrative for businesses as it could be.
‘London is broadcast all over the world. The British are so fabulous in pomp and circumstance. Too bad we can’t take full advantage of that.’
He was concerned that tourists would come to the UK for a few days to celebrate the historic royal moment before departing elsewhere in Europe.
Neil Clifford (pictured) is one of 150 business leaders calling on Chancellor Jeremy Hunt to bring back a VAT-free incentive for overseas visitors
“You might want to visit for a few days to catch a glimpse of the king in a beautiful carriage, before hopping on the Eurostar to run errands in Paris.”
A letter to Mr Hunt was organized by hotelier Sir Rocco Forte and signed by M&S bosses Selfridges and Harvey Nichols. Cross-party politicians have rallied behind the campaign, including former Prime Minister Liz Truss and London Mayor Sadiq Khan.
The Treasury has rejected industry calls for the tax to be abolished, arguing it would cost £2bn a year. But economists argue that this figure does not account for the tax generated if visitors spend more money in the UK.