Over-taxation kills tourism: WTTC
Scowsill singled out the UK as an example of destroying UK GDP by around $6.3 billion per annum and costing some 90 thousand jobs.
David Scowsill, WTTC President and Tony Blair former British Prime Minister encouraged the western governments to make most of the future powerhouse of global wealth creation-Travel and Tourism, at the two day World Travel and Tourism Council (WTTC)
Summit in Korea in September.
Revealing how Asia’s travel and tourism sector is forecast to grow six per cent per annum over the coming decade, Scowsill said, “Of the 70 million new jobs, Travel & Tourism will stimulate globally by 2023, two thirds – some 47 million - will be in Asia. This phenomenal growth will be driven by increasing wealth among Asia’s middle classes, particularly in China. The United Nations describe it as a historic shift, the likes of which has not been seen for 150 years. Asia’s middle class is forecast to triple to 1.7 billion by 2020.”
Globally, the future continues to look positive with the World Travel and Tourism Council predicting 3 per cent growth this year and generating $6.8 trillion– 9 per cent of global GDP - as well as employing more than 266 million people and accounting for 1 in every 11 jobs on the planet.
Although the future of the industry looks secure, Scowsill warned national governments of negative overall effect to their economies by the introduction or expansion of tax schemes to exploit this growth. “The UK’s Airline Passenger Duty is the worst culprit, destroying UK GDP by around $ 6.3 billion per annum and costing some 90 thousand jobs. Taxing the tourist does not lead to positive economic growth – in fact it leads to the opposite. We intend to promote this message heavily whilst we are here in Asia,” he added.