View Full Version : What's the Worst Regulation?
Moderator
08-06-2010, 02:46 PM
The Coalition Programme released recently by the Government set out its desire to improve the UK tourism industry’s competitiveness by recognizing the importance it has for the country’s economy. One particularly interesting proposal of the Programme is to give to the public the opportunity to challenge the regulations it deems are the worst.
Accommodation Know How is therefore opening this thread for the next 6 weeks from 08.06.10 to its members to identify those regulations they think is holding back growth in the sector and that should be changed or removed. The best suggestions will be put forward to the new Tourism Minister, John Penrose, for his consideration.
greenbarncottages
08-06-2010, 03:16 PM
Very encouraging!!
Could I make a suggestion that posters head up by saying which sector they're in - ie hotel, B&B, self-catering etc - I'm pretty sure we all see problems in a different way, so it would be useful to know, and interesting to understand the effects that some regs have on different sectors.
Windy
09-06-2010, 05:06 PM
I'm in self catering
Repeal of FHL, that ridiculous dvd licence scheme from Filmbank and the proposed energy certificate for starters.
Andrew Clay
09-06-2010, 05:20 PM
Self-Catering Waste disposal
Local councils won't take domestic waste from Self-Catering properties on the grounds that it is a business. As a business, we are subject to lots of onerous and expensive waste control regulations, form filling etc. Far from benefitting the environment, these regulations actually harm the environment and produce lots of extra carbon emissions and extra landfill.
The local council has an efficient and cost efficient domestic waste collection service. The waste from self-catering is identical to that of an ordinary domestic dwelling. The waste and recycling lorries from the local council are collecting from the same road yet cannot collect this waste. I have to hire a separate service that means a lorry has to come specially to my property; it is not cost effective to have separate recycling and landfill waste bins for one property so it all has to go in one bin. I have to pay the waste company to do the form filling and regulation compliance (£80 pa just for transfer note compliance before they collect the waste) . How is this situation in any way sensible?
enquiries@catton-hall.co.uk
09-06-2010, 05:42 PM
17.5% VAT on accommodation in UK. This should be reduced to levels of European countries, say, Germany where it has been reduced from 19% to 7%. From an article on the Oursource website, it states that at 17.5 our VAT rate is 3 x what it is in other European countries and that there has been a call to reduce it to 5%. This would make, especially small yet trading over the VAT threshold, accommodation providers more competitive and able to withstand the current economic climate.
barbersdrove
09-06-2010, 07:12 PM
SELF CATERING I am in my third year of operation and am finding the plethora of licences needed to provide what I believe to be quite basic facilities for my guests my most problematic area. I want to provide an excellent service with all the amenities one would have at home plus some of the little luxuries that would make the holiday special. Now, instead of looking at what i can add to the accommodation for guests benefit, attracting them to stay here, I am looking at what I will be taking away because I cannot cope with the amount of paperwork, form filling, reporting and costs involved in offering them. Then on top of that we have the legislation that affects all of us who offer a good fast speed broadband internet connection that makes us responsible for material downloaded by guests. So things I currently offer that might be removed are:
TV, DVD, Video, music centre, CD player, broadband,alcohol.
holidays@lowerfarmcottages.co.uk
09-06-2010, 07:18 PM
It would seem that the requirement for registering guests at holiday cottages is of little benefit to anyone. The owner of a cottage often lives remotely from the cottage and has no contol who stays overnight. Also if a guest says they are British how can the cottage owner be certain of this. Registration has mostly fallen into disuse, but (as Accommodation Knowhow has pointed out), a police officer could still make ones life difficult. Is this a law that should be recinded?
Starchip
09-06-2010, 07:28 PM
Could I make a suggestion that posters who suggest that posters head up by saying which sector they're in should themselves state which sector they're in? Would help me out no end and also be a much more defensible position with regard to posters who have not stated their sector arguing as to why they have/have not.
Otherwise, I have no idea which sector they are in and can only fall back to general abuse.
Thank you by credit card,
Oh! Nearly forgot - B&B.
Starchip
holidays@lowerfarmcottages.co.uk
09-06-2010, 07:29 PM
A regulation that causes a loss of income is the requirement for holiday cottages to be closed for a month (normally mid Jan to mid Feb). Sometimes the dates correspond to school half term holidays in some parts of the country. Also they cn clash with overseas school holidays. We also find that we are often approached by guest requiring accommodation for weddings and post Christmas visits to relative, which we have to refuse.
Since the accommodation has to be maintained to a high standard for its star rating, it must always have a period when it is closed to guests, but why standardise it?
I wish we had 100% occupancy!
msmarycurran
09-06-2010, 07:32 PM
I am given to believe that in order to claim the status of holiday let and therefore gain council tax rebates, the accomodation must not be let for more than 20 weeks in each year, this information was obtained by my accountant when looking into tax matters etc, Is this information correct, if so then it does seem not to encourage tourism in a time when the country needs all the visitors it can get, it of course also limits my income.
Mary Leamington Spa
david_griffin
10-06-2010, 08:28 AM
We are a Guest House in South Somerset and offer dinner along with Bed and Breakfast. In total we have been a Wolsey Lodge for some 18 years. Our guests come from both the UK and abroad. We like to have dinner with our guests Pre dinner drinks and wine are a key part of the whole visitor experience.
We have a liquor licence ourselves but the effort to get it along with the cost seemed out of all proportion for our small business. We have three letting rooms or a maximum of six people
We think there should be a license exemption for small enterprises such as ours This would remove a silly restriction for tourists for the Industry and save on Government administration
victoriafriend
10-06-2010, 08:37 AM
The worst regulation for small B&Bs has to be the fire regulations. We were advised when we bought our B&B three years ago by the local fire prevention officer that we needed to spend approx £5,000 in updating our premises with all new internal fire doors and a mains wired fire alarm system in every room. We only escaped having to have emergency lighting on the stairs because there is a street lamp opposite the house which illuminates our landing! We have since learnt from other nearby businesses that he has not been nearly so demanding with them, actually saying that 2 or 3 battery powered smoke detectors are fine!! Also he has not asked them to replace internal doors with fire doors. There is so much confusion and subjectivity out there I don't think anyone in the country is operating from the same place. The regulations are far too onerous for a small establishment which is essentially a family home! We should NOT have to have operate under the same regulations as a small hotel. The expense, and fear of expense, is driving a lot of people to close down. I know of one such business near me that closed after they were made aware of the regulations.
mshelenlarcombe
10-06-2010, 12:29 PM
Self Catering and agree wholeheartedly with Barbersdrove. We too are in our 3rd year and it seems that as fast as we try to "add " to the quality of the experience for our visitors along comes another piece of often futile and totally unenforcable regulation requiring us to detract from that experience. Everything either needs a written policy or a licence ( with fee !! ) or is seized upon as a revenue source by agencies such as Filmbank.
Also why do all the local and regional tourist agencies have to re-brand every 2 years ?? adding cost and confusion.
Thats a bit better-- now must get back to writing the Travel Plan, Evacuation Plan and Environemntal Plan needed to support our planning application !! Dont get me started on that one !! Why do we bother?
mrssusanmehta
10-06-2010, 12:53 PM
B&B in Broughton Gifford, near Bath.
PRL licence required for TVs in private bedrooms now deemed as public places needs to be got rid of and yes a license for lending out of DVDs for small B&Bs is utterly ridiculous!
Raincliffe1
10-06-2010, 04:03 PM
Raincliffe - Guest Accommodation Sector:
A level playing field for all (although not sure of the finer details!)...
Abandon VAT threshold @ 70K and make all smaller accommodation businesses pay a flat rate of 10% if they are majority percentage accommodation sales (as opposed to food/drink sales)- this would simplify paperwork for a start. Perhaps have an upper limit of £220K then say 15% VAT. Regards VAT reclamation, perhaps this should only be possible when the value of purchases upon which VAT is reclaimed exceeds 25% of an establishment's annual sales - in other words encouraging major investment by providing a financial incentive. In the main accommodation providers unless they are carrying out major improvement works have little VAT to reclaim.
This would encourage businesses to open all year round (not close to keep under VAT threshold), VAT revenue would improve as evading it would suddenly not be so lucrative. If businesses are able to declare more then they can spend more thus encouraging real long term investment in the sector.
And it is only my opinion but whether you let 2 rooms or 20, I think there needs to be compulsory laws in force to ensure that there is a minimum standard to protect the HEALTH AND SAFETY of the public staying at a house/b&b/guesthouse/hotel; whether it be a hard wired fire alarm system or regular inspections by EHO's or making sure that each accommodation provider has the correct insurance in the event of something going WRONG. These are legitimate costs which have to be borne. If it is simply a money making excercise (DVD licence etc)then this kind of stupid red tape should be abandoned; concentrate on the things that matter.
Katherine
imported_Jane Thorpe-Codman
11-06-2010, 08:06 AM
There are two main issues as I see it, the FHL tax change threats, we must lobby the many Lib Dem MP'S in South West and Highlands of Scotland, as they were sympathetic during last Government and now they have more power as part of this coalition Government they can, we hope clearly explain what running a Self catering cottage involves as the last Government did not grasp that we are fully trading companies and much closer to running a hotel than a shorthold tenacy property.
The second issue and effects whole of tourism industry is the cost of a UK Visa, until we are same price as rest of Europe, tour parties and individuals from the biggest growth tourism markets ie China, India and others will miss us out on their European tours. We MUST be competitive.
There is another which is very frustrating personally as we are in the process of building 5 more cottages; these are the inflexible planning regimes, they want more tourist accommodation in my area but treat me as any other large hotel chain and not as a small business, there is no cost effective system for small ammendments to plans and grant applications are even worse as 3 quotes for everything is so time consuming and I dont have a staffed admin department so can be discussing sustainable heating systems and cleaning toilets at the same time.
I am proud though to be part of our tourism industry as I see our sector as constantly improving and some really innovative small businesses which as we all know are the back bone of this country and will ultimately help to get us out of debt.
info@clanvillemanor.co.uk
14-06-2010, 05:50 PM
B&B & self-catering South Somerset
I agree with all the previously discussed regulations that are ridiculous-especially the DVD concierge licence-I have removed all the DVDs from my cottages and tell guests I am very sorry that they can't watch anything they haven't brought with them.
However, in order to encourage B&Bs to expand and supply much needed accommodation especially at peak times, why not have a sliding scale of business rates. The first 6 bedspaces to be free of rates, a small amount of rates for the extra bed above 6 and incrementally from there. Many medium B&Bs are doing a great job and could gently expand. Local councils would get busienss rates without having to do anything and more guests could enjoy staying with us.
wasco
15-06-2010, 06:24 AM
If a property is available for letting throughout the year but the operator makes a conscious decision to only accept bookings for a total of 139 days (or less), then the property will not be subject to a rating assessment but will be allocated a council tax band. Where the operator does not make a decision to limit the total period for which bookings will be accepted, the property will be liable for a rating assessment, regardless of whether actual lettings fail to exceed the 139-day limit in any given year. For more information go to http://www.fonsca.org.uk (Federation of National Self Catering Operators).
wasco
15-06-2010, 06:49 AM
Self Catering: HMG's Communities and Local Government (CLG) Department has published an Impact Assessment document on its proposal to require self catering properties in England and Wales to have 'Energy Performance Certificates'.
To view the Impact Assessment and Consultation paper 'Requiring Energy Performance Certificates (EPCs) for short term holiday lets' go to http://is.gd/aNocV.
In brief, the policy's key objective is to comply with EU law and to make it mandatory for dwellings used for holiday lets to obtain an EPC. The extension of EPCs to holiday lets is also being proposed on the basis it will improve awareness of energy efficiency, giving property owners and the public more information about the energy performance of the property and - if recommendations in the EPC are taken up - this would lead to lower utility bills for the property owner and a reduction in CO² emissions. EPS certificates, which the CLG estimate would cost approximately £75 per property, would be required every 10 years for any property let for 4 months or more in any one year.
Trading Standards Officers in local authorities would be responsible for the enforcement and compliance; letting a property without producing an EPC would result in a £200 penalty.
Both the Wales Association of Self Catering Operators and the English Association of Self Catering Operators have submitted responses to the CLG apposing the introduction of this new legislation.
msmframrose
23-06-2010, 10:26 AM
It is not a well-known fact that if an accommodation provider gives any of his/her guests a lift by car eg. from/to a collection point or to a local restaurant, this contravenes the terms and conditions of their car insurance even though it may be insured for business. To do this the law states you need a Hackney License as you are using your vehicle for profit or reward. This has been confirmed to us by our local authority trading standards department in Northumberland.
We, like many other accommodation providers are in a very rural area with little public transport and where facilities are spread over a wide area. It is considered both polite and necessary to offer guests without transport, in this area where people come to walk, a lift to and/or from their designated walking path such as Hadrian's Wall or local restaurant for their evening meal.
We do not consider this activity to be for reward as is stated in the eyes of the law but rather an extension of the level of hospitality as required by Visit England.
We do not consider this action any different to a customer giving a client a lift to a construction site or to a meeting appointment.
Given the serious legal and financial implications of this anomaly in the law we would request an immediate review of the law with a view to changing it to align with modern every-day car usage and good service for our guests.
struanwilson
23-06-2010, 12:13 PM
I have recently been advised by a fellow B&B that if an accommodation provider gives any of his/her guests a lift by car eg. from/to a collection point or to a local restaurant, this contravenes the terms and conditions of their car insurance even though it may be insured for business. To do this the law states you need a Hackney License as you are using your vehicle for profit or reward. This has been confirmed to them by our local authority trading standards department in Northumberland.
We, are in a very rural area with little public transport and where facilities are spread over a wide area. It is considered both polite and necessary to offer guests without transport, in this area where people come to walk, a lift to and/or from their designated walking path such as Hadrian's Wall or local restaurant for their evening meal.
We do not consider this activity to be for reward as is stated in the eyes of the law but rather an extension of the level of hospitality as required by Visit England. We are only charging a modest mileage charge to cover fuel etc, nothing for our time.
We do not consider this action any different to a surveyor or other professional giving a client a lift to a construction site or to a meeting appointment.
Given the serious legal and financial implications of this anomaly in the law we would request an immediate review of the law with a view to changing it to align with modern every-day car usage and good service for our guests."
Sue: White Horse Walking Holidays
23-06-2010, 04:40 PM
I run a B&B/walking holiday business.
I too find the lifts rule ridiculous. I give people lifts if there's no alternative but I don't feel I can make any charge, despite the cost of doing so.
I had to totally re-think my business when I found out about this rule. Originally I was offering daily transport to & from points along the White Horse Trail. I don't think many taxi drivers would be keen on picking up muddy/wet walkers from obscure parts of the trail but the law's the law, however ridiculous. I now have to hope people can walk far enough to make the next bus stop - and with a poor service, it's not ideal. Now I concentrate on other aspects of the business.
Der Alte Fritz
26-06-2010, 09:21 AM
10 bedroom Guest Accommodation
A lot of the licenses are a bother to process but just form filling. The five licenses I currently need for my televisions to cover the various copyrights are a total nonsense and the paperwork and expense of a civil ceremony license £1300 plus floor plans, fire certificates, insurances, certs, etc etc etc very dull!
The car thing is annoying and I would never charge for the service but will do it on a private basis if there is no alternative (which in rural areas there is often no alternative, no buses, taxis do not want the work, and the carrier and his donkey was phased out in 1904)
greenbarncottages
13-07-2010, 03:05 PM
Three 4* Gold self-catering holiday cottages, on site.
The FHL changes and the Digital Economy Act stand out as the most ill-considered and stupid pieces of legislation to be considered and/or introduced, along with the pointless notion of energy certificates as something that should influence a visitor’s choice of accommodation.
After those, the licensing nonsense rears its ridiculous head in all its guises; the likes of Filmbank, PRS et al trying to apply copyright laws in a manner for which they were never originally intended, needing a taxi license to give guests a lift when adequate insurance is all that should be necessary, the commercial treatment of what is simply domestic waste, unless perhaps it’s a large-scale holiday park (still domestic waste, just a lot more of it).
There’s a simple common-sense test to all of these: try explaining to a guest why you can’t supply a DVD, or offer them a lift, or give them a free bottle of champagne for a special occasion, and watch their eyes roll in initial disbelief immediately followed by the realization that regulations really are that stupid. So please can we have a general common-sense test applied to all the regulations that affect us? If they don’t pass that test, they need dumping.
Fire regs are a tricky one; there is an obvious need for fire precautions in holiday lets to be of a higher standard than is found in a typical home, primarily because of the unfamiliarity of layout. However, what is required for conversion or new build goes way beyond, with fire doors with smoke seals dictating the décor, door closers that annoy guests by making doors slam – this in what is basically a domestic property, someone’s home for a week, not a multi-occupied hotel. Some sense of scale and reality, please!
The application of VAT to holiday letting accommodation needs some serious consideration; in many areas of the country it’s quite likely that an owner with a few properties could hit the VAT threshold, and immediately have to add 20% to their rates and be uncompetitive. Alternatively, they might choose to keep below the VAT threshold by charging low rates and make the rest of us uncompetitive!
All the above have been mentioned by previous posters, and have also incensed and frustrated many of us in other threads on the forum. For many owners the plethora of trivial regulations, rather than any one particular culprit, is what makes them wonder “Why bother?”
There is a flip side to all of this - anyone can choose to let their property, of whatever standard and no matter how ill-equipped or unsafe, as self-catering holiday accommodation and there's little or nothing - with the unlikely exception of being caught by a fire inspection - to prevent them doing so. Whilst looking for a parapet to duck behind, could there possibly be some benefit to those of us who are taking it seriously (which must include everyone on this forum) in some form of sensible regulation?
I don’t think I’ve seen this point raised, but it has a direct effect on most areas of holiday accommodation in rural areas, and that’s the authorities’ obsession with trying to stop people using their cars through ever increasing taxation and legislation. Outside of major conurbations, public transport is not, and never will be, a viable alternative. People may well go to rural areas to enjoy walking, but they need to get there, and they need their own freedom. The talk of Pay–per-Mile and other disincentives will have a big impact on tourism in rural areas – is anyone representing the interests of the UK rural tourist industry as a whole on this particular issue?
Starchip
13-07-2010, 11:13 PM
I am, like "Victoriafriend" a 3 room B&B.
I think that I can address her or his issues with Fire Regulations whilst also helping out "Raincliffe1" or "Katherine" as he styles himself. Humour intentional, by the way.
Like Victoriafriend I was visited by a fireman. I had actually been "grassed up" by a neighbour who was, presumably, trying to give me a hard time for changing the house into a B&B.
I had been on a "Fire awareness course" at my County Fire Brigade- which, incidentally, I heartily recommend. It's free and they have coffee. All Fire Brigades do this. Take advantage of it. Avoid the coffee.
Anyway. The Fire Officer rang bell and came in (Oh. should mention that this was unrelated to having been on the course) and had a really good look round - and I mean a really good look round. He told me what was right and what was wrong. He told me how to improve what I had, what could be done, cheaply, to make my B&B safer.
He realised the financial parameters within which I am trying to earn a living and he had absolutely no intention of trying to close me down.
He put it like this; "I really don't want to tell you what to do or not to do. I just don't want to see another dead body".
Well, can't argue with that eh?
So. This brings us to "Raincliffe1" or Katherine's point - and I quote;
"And it is only my opinion but whether you let 2 rooms or 20, I think there needs to be compulsory laws in force to ensure that there is a minimum standard to protect the HEALTH AND SAFETY of the public staying at a house/b&b/guesthouse/hotel; whether it be a hard wired fire alarm system or regular inspections by EHO's or making sure that each accommodation provider has the correct insurance in the event of something going WRONG."
Come on. That is obviously nonesense. Don't you see how differently Victoriafriend and myself were treated by the Fire Brigades of our respective areas?
Now, if the Fire Brigades cannot agree on a common way forward what makes you think that the EHO's or any other body can?
By the way, what are "compulsory laws"? Are there some non-compulsory laws?
Those will be for me then!
I thank you for the opportunity to rant and hope that you all appreciate that I didn't even mention insurance. Rats! Foiled again. Or, at least, clingfilmed.
Be careful, it's a B&B out there.......
joyful
14-07-2010, 09:27 AM
17.5% VAT on accommodation in UK. This should be reduced to levels of European countries, say, Germany where it has been reduced from 19% to 7%. From an article on the Oursource website, it states that at 17.5 our VAT rate is 3 x what it is in other European countries and that there has been a call to reduce it to 5%. This would make, especially small yet trading over the VAT threshold, accommodation providers more competitive and able to withstand the current economic climate.
There is a flat rate VAT scheme specifically forsmaller guest accommodations, i.e. B&Bs, hotels, 8.5% first year and 9.5% second year, but this will go up in Jan 2011 with new rates. You can claim back on the last 3 years on some things *ask your accountant, and from then on, on major capital assett purchases over £2k but otherwise its just straight accounting.
mrtaloizou
15-07-2010, 10:19 AM
SELF CATERING I am in my third year of operation and am finding the plethora of licences needed to provide what I believe to be quite basic facilities for my guests my most problematic area. I want to provide an excellent service with all the amenities one would have at home plus some of the little luxuries that would make the holiday special. Now, instead of looking at what i can add to the accommodation for guests benefit, attracting them to stay here, I am looking at what I will be taking away because I cannot cope with the amount of paperwork, form filling, reporting and costs involved in offering them. Then on top of that we have the legislation that affects all of us who offer a good fast speed broadband internet connection that makes us responsible for material downloaded by guests. So things I currently offer that might be removed are:
TV, DVD, Video, music centre, CD player, broadband,alcohol.
This is nonsense. How can we be rresponsible for illegal downloads? I also provide cutlery. Does that mean that if a client stabs someone with my knife that it's my resposibility?
info@brenley-farm.co.uk
20-07-2010, 02:26 PM
I run a B & B with the standard 6 bed spaces - like an awful lot of people in this country. Mine is a general gripe regarding regulations. When Government and other agencies bring in new laws and requirements, as cited by other respondents, they do not seem to think micro business. The backbone of the accommodation sector in this country falls to those of us with 2/3 cottages, 6 bed spaces or less and probably without any staff. We work all hours to maintain a profitable business but we are outside the radar when it comes to decision making. Regultors talk about SME's - small & medium size busnesses as the smallest operators. That is a business with less than 500 employees. Many regulations put an excessive burden on us which is out of all proportion to the size of business.
Sue Holland
20-07-2010, 02:35 PM
quite simply, the way vat is applied, has the worst effect on business growth, and with the forthcoming vat rise to 20%, the effect will worsen. The problem is the way vat is applied, not the vat itself.
ie, if the vat limit is £70000, when we go £1 over, we pay vat on the whole £70001.
The result is to stifle growth and give unfair advantage to smaller business who can trade just under the vat limit. Customers are actively seeking out the smaller b&b's who dont have to charge vat.
There are several fairer ways (and the coalitions wants to be fair)
1. Apply vat on the income ABOVE the threshhold
or
2. reduce the threshold (to bring more businesses in to vat) but have a sliding scale of vat (eg 1st 50k at xx% the next 50k at yy%)
mrdavidweston
20-07-2010, 02:49 PM
From David Weston of the Bed & Breakfast Association (and also a 3 room B&B owner!):
We have been hearing from our members on which regulations they feel are worst, and this thread has been useful to read too - the same ones again and again!
We did manage to get the UK and Scottish Governments to issue new guidelines on fire regs, which has made compliance much less onerous for small B&Bs.
On PRS, we will continue to oppose their charging more for "public areas" in B&Bs when the only "public" are guests - it is duplication. I have also made the suggestion to Oliver Letwin, head of policy development for the Tories, that the Government consider abolishing PRS and PPL and streamlining copyright licences within a new TV licencing regime.
We oppose any legal requirement for Energy Efficiency Certificates for letting/B&B, and will lobby for B&Bs who give a drink to arrivals not to be caught in the proposed "ban on the sale of alcohol below cost" regulations.
The question of small B&Bs/self-catering premises having to have waste treated as "business" is also needless red tape.
There is certainly a huge amount for your trade association to fight off - before even mentioning the possible re-appearance of the threatened "bed tax" which we got the last Government to shelve a few years back!
Members of the Bed & Breakfast Association will receive more detail on these things as they progress (see www.bandbassociation.org (http://www.accommodationknowhow.co.uk/forum/www.bandbassociation.org)). The more support we have against red tape and over-regulation, the better!
David Weston
welcome@westwoodlodge.co.uk
20-07-2010, 03:06 PM
4 Star Gold and 5 Star Cottages and Apartments in Yorkshire
Here's a few...
Sort out recycling collection rules. We are GTBS Gold but our Council (Trade Waste Collection Department) won't collect ANY items for recycling. They say they have no resources and the items should just go in the general bins (i.e. go to landfill). The Council (Domestic Waste Collection Department) collect all items for recycling throughout the town, but as we're classed as business, we have to both PAY for refuge collection and NO recycling allowed. So I have to sort it all myself and take it to the recycling bins in the central car park in several car loads each week. It's completely mad!
Reduce rate of VAT for self-catering - especially longer lets. We do longer term apartment lets in winter where we have to charge 17.5% soon to be 20% VAT. Other flats in town are rented out on the Assured Short-term Tenancy system, charge NO VAT and are therefore up to 20% cheaper! In theory, their minimum let is 6 months, but they simply agree to cancel the tenancy after a few weeks for shorter lets. Ridiculous!
No FHL repeal - thank goodness - but the Government should insist on a high occupancy threshold (at least 40% occupancy in the year) to exclude those who are taking unfair advantage of the legislation for seccond homes and pseudo self-catering.
Exemption from PRS and DVD Concierge for self-catering. It's ridiculous that I can't lend a child my daughter's 10 year old Maisy Rabbit DVD on a rainy day or allow guests to listen to the radio whilst in the mini-gym without paying for licences.
Sort out the Flat Rate VAT Scheme. Go just ONE PENNY over the threshold and you're thrown off the scheme! There's just no incentive to grow your business!
Stop single cottage owners pretending to be domestic use and thus avoiding business rates, business insurance etc etc. I know of several people in this area who are doing this and it's not fair. If you're running a self-catering business, it's a business, even if Granny comes to stay twice a year.
I could continue....
stay@coblecottage.com
20-07-2010, 03:36 PM
SELF CATERING I am in my third year of operation and am finding the plethora of licences needed to provide what I believe to be quite basic facilities for my guests my most problematic area. I want to provide an excellent service with all the amenities one would have at home plus some of the little luxuries that would make the holiday special. Now, instead of looking at what i can add to the accommodation for guests benefit, attracting them to stay here, I am looking at what I will be taking away because I cannot cope with the amount of paperwork, form filling, reporting and costs involved in offering them. Then on top of that we have the legislation that affects all of us who offer a good fast speed broadband internet connection that makes us responsible for material downloaded by guests. So things I currently offer that might be removed are:
TV, DVD, Video, music centre, CD player, broadband,alcohol.
Four star self-catering in my third year - one small cottage usually occupied by one small family. The licensing saga is ridiculous. I too have taken out CD's DVD's and radio and am now not likely to be offering braodband in the near future. I have upped my inspection score year on year since opening and really do want to offer guests the best experience possible but the complexity and cost around complying with licensing is helping neither guests nor owners.
Shirley Swaap
20-07-2010, 04:14 PM
I have been trying to think which regulations hurts us most. Certainly the fire regs cost us 20% of our business as we couldn't justify the cost of the upgrade to the house, to support the fire authorities requirements to remain a B&B, and therefore had to close. However, I don't think there is just one or two or three regulations. The problem is the entire 'Health and Safety' ethos we now have to work under.
A simple example - Our window cleaner can no longer use a ladder due to H&S. He has had to purchase an entire new 'cleaning system' (at great cost) to carry on his business and a van to go with it. The result - My windows are not cleaned as well as they were (so I am not happy), he is losing customers (because they are not happy) and he has now contracted a Repetitive Strain Injury due to the new work position. Is this progress or just stupidity. This is just today's pain. Tomorrow I will find another and the day after another. I think a lot of this type of nonsense comes under the H&S mentality we seem to have got ourselves into. Its not a specific regulation, it is almost a disease we have caught that needs curing.
If I were to choose one item - I would say we need a major review of the entire 'Health and Safety' ethos (in which I include Fire regs, electrical part P etc, Environmental Health, etc etc) and probably even more important the 'no win, no fee' culture which seems to be driving this ethos.
JMcLeod
20-07-2010, 05:21 PM
The regulations most likely to make small B & B's decide to close down are:
Having to install mains smoke alarms (surely battery operated ones are adequate for the 'risk' factor in a family home.
TV and DVD licences (to enable us to offer that extra level of comfort
and enjoyment for guests)
Many guests prefer the atmosphere of a family home rather than a hotel but it will soon be difficult to find this type of accommodation as we accommodation providers have to meet these OTT regulations!
Bill Higgins
20-07-2010, 05:59 PM
Nothing more to add to what's already been voiced. Repeal of FHL rules would be a disaster and also PRS for Music's remit should be more clearly defined in law.
Steve Cooney
20-07-2010, 06:36 PM
Without doubt the most ludicrous stealth tax introduced by the last lot was the license required to keep a 'DVD library' - I just kept a pile of the free DVD's given away by the Sunday papers for the convenience of my guests - an extra option if they wanted to watch a DVD instead of the telly. It was a little used 'service' - but appreciated by those few who did avail themslves. But no more - it certainly wasn't worth me paying 30 odd quid per room to provide it - so I took it away. One less thing to offer people due to a most ridiculous tax. Get rid of it!!!!
holidays@lowerfarmcottages.co.uk
20-07-2010, 06:49 PM
I have 3 self catering holiday cottages on one site, each of which is part of the building in which we live. Each cottage is rated for business rates seperately. The total rateable value is about £6000, but we are only allowed small business rate relief on one cottage (ie about £2000). If the property was rated as a total (ie £6000) we would get the relief on this and be well within the values used for other small businesses. Why is the tourist industry put at such a disadvantage?
Neil_Harland
20-07-2010, 07:11 PM
The new regulations on testing private water supplies is the one that could be described as over the top and likely to adversely affect the accommodation providers in some of the most scenic (and hence desirable) parts of the country. Not only have they narrowed the goal posts but also they are going to be testing more regularly and charging the accommodation owners for the privilege. Not only that should the water quality fail then the accommoadtion owner will be left with the capital cost of bringing the water supply up to the new standard, which will not be cheap.
My main gripe is that this is a totally unnecessary regulation. Where are the statistics showing people falling ill from the use of private water supplies conorming to the regulations and annual testing that we have at present?
If they exist they are hard to find.
To be fair I don't think any UK government could do anything about it as they came from, you guessed it, Brussels.http://www.accommodationknowhow.co.uk/forum/images/smilies/frown.gif
Martin
21-07-2010, 10:33 AM
Re Flat Rate VAT, can I just check that you're aware of the differing limits for entering the scheme and being obliged to leave it? I've found that many people think the limits are the same, i.e. £150k.
Last I looked, if your turnover was below £150k EX vat, then you could join, and you could stay in the scheme until your turnover was £225k INC vat.
Sorry if it's teaching granny to suck eggs, but I've found that even some accountants haven't scratched the surface of the documentation and realised the scope of it.
I have no idea whether the upper limit will be raised along with the VAT rate (but I suspect we all know the answer to that!).
Cheers,
Martin.
The_Evanses
21-07-2010, 05:53 PM
VAT
The limit for registration is a barrier to growth. In our case, it is also preventing us from employing someone. In my opinion the £70K limit is too low as the net profit from it it does not provide a living wage for 2 people. To go over this limit and get to a level where it becomes worth it is too big a step. I agree with the people who have suggested that VAT should be payable on just the amount over the limit instead of immediately becoming liable for it on the whole turnover and that perhaps there could also be a scale.
PRS
The least said the better!
REGULATION
Like most people, I accept that there has to be regulation and that it improves safety and standards and that these are good things. But does it have to change so often? Just when you think you've addressed something, it goes and changes all over again. It becomes unnecessarily expensive and time-wasting.
DIGITAL ECONOMY BILL
We are very concerned about this proposed legislation as we feel it will hurt small businesses who don't have the resources to put in place measures to protect themselves from illegal downloading by guests. A large percentage of guests consider WIFI a must and will not stay with us if we can't provide it free of charge.
Moderator
23-07-2010, 10:49 AM
Many thanks you for your posts and suggestions. This thread is now closed and we will be choosing the best suggestions to put forward to John Penrose the Tourism Minister.
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joyful
17-09-2010, 02:41 PM
Thanks for pointing out about downloads, I have heard of this one and immediately put a clause on my T&Cs!
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