Industry associations are joining forces to urge the UK Government to make business travel exempt from any new tourism levies.

The Business Travel Association (BTA), the Global Business Travel Association (GBTA) and the Institute of Travel Management (ITM) have submitted a joint response to the UK Government’s Overnight Visitor Levy consultation to argue that business travellers should not be included because they already make significant contributions to the UK economy through business rates, taxation and transport fares.

They say including business travel within a visitor levy would “increase costs for employers and employees, disrupt supply chains, and reduce productivity, ultimately undermining regional economic growth”.

The UK Government is considering whether to grant Mayors of Strategic Authorities the power to raise local revenues through visitor levies to fund infrastructure, cultural projects and regeneration initiatives.

While all three associations support the principle of local investment, their joint reponse stresses that essential business travel must be protected from additional taxation.

Key points include:

• Business travel should be explicitly exempt from any overnight visitor levy
• National consistency is essential: percentage-based or locally varied levies would increase complexity and costs for organisations operating across multiple regions
• Where levies are applied, revenues should be invested in tourism-related infrastructure, transport, and public realm improvements that benefit visitors and local communities
• Clear guidance, sufficient lead-in times, and robust reporting mechanisms are required to ensure transparency and avoid unintended economic consequences

Andrew Clarke, Commercial Director, BTA, said: “The BTA’s core position is clear: an overnight visitor levy should apply solely to discretionary tourism activity and should not apply to business travel undertaken for and on behalf of work.

“Business travellers are not tourists. Their travel is non-discretionary, economically productive, and directly linked to employment, investment, skills development, and regional growth. Applying a levy designed as a ‘tourist tax’ to business travel risks creating a de facto tax on UK businesses, productivity, and inward investment.”

Scott Davies, Chief Executive Officer, ITM, added: “Business travel helps drive the UK economy, directly contributing to growth, job creation and tax receipts. It is essential to how organisations operate and should not be treated as discretionary tourism.

“Any levy framework must be nationally consistent, simple to administer and transparent in how funds are used. Poorly designed local charges risk adding cost and complexity to UK businesses at a time when productivity and regional growth depend on mobility.”

In a separate submission to the consultation, beam, which represents businesses within the events, accommodation and meetings industry, aligned its position with the BTA, GBTA and ITM.

Chair, David Tremmil, said: “Business events are catalysts for economic growth, innovation and skills development. They attract investment, drive sector collaboration and generate significant spend across local supply chains. They are not leisure tourism.

“A levy applied to work-related travel would represent a tax on productivity and growth. We urge Government to ensure business travel and business events are clearly and explicitly exempt.”