The Province is boosting support for tourism marketing by increasing the amount of Hotel Room Tax provided to Tourism British Columbia from 1.65 points to three points of the eight per cent collected, Premier Gordon Campbell announced today at the B.C. tourism industry's annual conference.

"Our goal is to make visitors - at home and around the world - think about B.C. first when making their travel plans," said Campbell. "This increased support will help Tourism BC achieve that goal by ensuring its budget for marketing is on par with or better than B.C.'s competitors and help us to double tourism revenues by 2015."

The Hotel Room Tax Act enables collection of an eight per cent, provincewide tax on sales of accommodation. This new tax allocation fulfills Premier Campbell's 2005 commitment to double Tourism British Columbia's budget to $50 million. This increase will more than meet that commitment and is expected to increase Tourism BC's budget to approximately $62 million in the first year.

"The increase in funding is an action item under B.C.'s 2007 Tourism Action Plan," said Stan Hagen, Minister of Tourism, Sport and the Arts. "We know that we can lead the world in tourism if we work together with industry to market B.C. as a world-class destination."

Of the eight per cent tax collected from room rates at hotels, the act currently designates 1.65 per cent for Tourism British Columbia, while the Province receives the remaining 6.35 per cent. The Province topped up the Tourism BC budgets in 2005/06 and 2007/08 fiscal years to $50 million. Increasing the tax allotment to three per cent is the long- term plan for Tourism BC funding.

"These funds immediately make us more competitive as a destination," said Allen Tozer, chair of Tourism BC. "Most importantly, it gives us the long-term resources necessary to truly capitalize on the increased awareness resulting from hosting the 2010 Olympic and Paralympic Games."

In addition, the Province in the past year announced communities may request designation as resort municipalities, which allows them to add an additional two per cent to the hotel tax to fund a local destination marketing organization.

SOURCE:
Office of the Premier
Ministry of Tourism, Sport and the Arts
PROVINCE INCREASES SUPPORT FOR TOURISM MARKETING