The Lyons Inquiry to be published mid-March

The Lyons Inquiry report into local government funding, expected to propose the introduction of a bed tax, will be published in mid-March, it has been confirmed.

Sir Michael Lyons's report was due to be published last December, but it was delayed because Chancellor Gordon Brown and Local Government Minister Ruth Kelly asked him consider the implications of the Eddington report on transport, the Barker report on planning and the Leitch review on skills.

The report will appear “around the time of the Budget”, in mid-March, ahead of a conference to be held on 27 March in London.

Caterer has led a campaign against the introduction of the bed tax, which would add a 5-10% levy to the cost of an overnight stay.

It has been backed by hotel operators such as Travelodge and Premier Travel Inn and industry bodies including the British Hospitality Association and the Tourism Alliance.

Recent research by accountants UHY Hacker Young revealed that almost nine out of 10 hoteliers believe a bed tax would hit the UK tourist trade.

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By Daniel Thomas

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