Caroline Pidgeon plans a radical upgrade to childcare services in London. She will pay for it by introducing a 'tourist tax' on luxury hotel stays typical of major cities. Caroline, Liberal Democrat Mayoral candidate and mother of a young child said:
“As any parent in London will know, the cost and availability of childcare in London puts a real strain on families. Compared with the rest of the UK, 10% fewer women return to work after having children.
“Many cities around the world including New York, Paris and Berlin have a Tourist Tax. My plan for a £2 a night levy on hotels of 3* or above would raise £50m a year by 2018 and mean we could fund more wrap around child care including breakfast clubs and the after school, activities, s well as more training places to boost the number of childminders working in London.”
Caroline's proposals are for a £2 a night Tourist Tax will be applied on all stays in 3* or above hotels.
In 2015 there were 68,100 rooms of 3* and above in London, and £41.2million would have been raised by imposing a £2 levy. By 2018 there will be 88,800 rooms of 3* and above and the total raised would be £53,803,920. This would provide an unprecedented level of investment to support the provision of childcare outside of normal school hours, such as breakfast clubs or after school care.
Several major cities have adopted similar tourist tax schemes, including New York, Paris, Berlin, Rome, Venice and Florence.
You can read about other tourist tax examples: