BHA Calls for Removal of Red Tape

The Tourism Regulation Taskforce has submitted more than 80 proposals to Tourism Minister John Penrose to remove unnecessary red tape as part of a growth opportunity for tourism. British Hospitality Association (BHA) president Alan Parker is chairman of the taskforce. The government is now considering the “Smart Regulation and Economic Growth: Seizing the Tourism Opportunity” report, and the taskforce is due to follow up with the Department for Culture, Media and Sport.

The report was compiled by several businesses, organisations and associations under Parker. It points out that most tourism and hospitality businesses are micro businesses and SMEs (small and medium enterprises), which are the lifeblood of the economy. However, one of the biggest issues is the collective effect of regulations on them.

One of the important recommendations made by the taskforce is to create a cross-Cabinet committee to coordinate government policies that affect the industry. It also says that visitor numbers are directly impacted by visa restrictions. There are many areas where the UK visa application process is less attractive compared to those of other western countries, including cost and documentary requirements. It recommends that visa requirements for tourists be lifted as part of a visa waiver test process. The taskforce also proposes that processing times be guaranteed and that requirements for supporting documents be reduced.

The report went on to recommend that tourism be included in the emerging National Planning Policy Framework and that amendments be made to Change of Use orders so that greater innovation can be allowed in response to changing trading environments. This comes as planning permission to expand or develop tourism businesses is too slow, complex, expensive and difficult to predict. The taskforce also touched on other areas like fire safety, health and safety, package travel regulations, money laundering, age discrimination provisions, aspects of licensing and employment regulations.

Parker says removing the red tape is a vital part of the tourism growth opportunity. Regulations are too often introduced by one government department, only to conflict with rules of another department that is also interested in the industry. The taskforce has received feedback that suggests regulators usually don’t understand the struggles that independent businesses face when new complex rules are implemented. They also don’t appreciate the costs.

The taskforce chairman also says bold policy actions will free bigger companies to designate resources more efficiently while they could symbolise a make or break solution for smaller businesses. Removing unnecessary red tape would also make a difference for economic recovery.

BHA chief executive Ufi Ibrahim says the report is a reflection of mounting concern within the industry about the cost of red tape in relation to lost profits, jobs and opportunities. The hospitality industry submitted several proposals to the Better Regulation Taskforce in 2000 and few were implemented, while the impact of The Task Force was minimal. They believe the report demonstrates how to sweep away much of the unnecessary regulations that frustrate many businesses and pose a threat to the creation of hospitality jobs.