Open

Coming up

Don't miss

Replay


LATEST SHOWS

DEBATE

Strikes Over Syria

Read more

ENCORE!

30 years of Americana through Jean-Pierre Laffont's lens

Read more

FOCUS

A little bit of Africa in Paris

Read more

AFRICA NEWS

Frenchman kidnapped in Algeria: 'IS'-linked jihadists claim abduction of 55-year-old tourist

Read more

TALKING EUROPE

EU budget deficits: Time to be more flexible?

Read more

TALKING EUROPE

Sir Graham Watson, President of the Alliance of Liberals and Democrats for Europe

Read more

#TECH 24

Anonymous ‘declare cyber war’ on IS militants

Read more

WEB NEWS

Cambodian garment workers demand minimum wage

Read more

IN THE PAPERS

'France in the crosshairs'

Read more

France

France scraps ‘unthinkable’ five-fold hotel tax hike

© AFP / Michel Guillot - Palace Hotel Meurice in Paris

Text by Mehdi CHEBIL

Latest update : 2014-07-17

A plan to slap a five-fold increase on hotel tax in France has been ditched by France’s National Assembly after lawmakers said that such a steep rise would deal a blow to the country's vital tourism industry.

The National Assembly rejected a bill on Tuesday night that would have seen the “taxe de séjour” (hotel or lodging tax) increase by up to €8 for four and five star hotels from its current level of €1.50 per guest per night.

Lawmakers also rejected the creation of an additional tax of €2 per night for hotels in the Paris region in what is being viewed as a hard-fought win for France’s hotel industry.

The hotel tax will now stay at its current rate of between €0.20 and €1.50 per night, depending on the type of hotel.

Bernard Debré, a lawmaker from the opposition UMP party, welcomed the hotel tax laws defeat, saying that such an increase was “unthinkable”. Debré argued that it would make “tourists pay for our country’s debt, when they are already spending money in our country, helping our economy and providing employment”.

Rifts exposed in ruling Socialists

The proposed law also exposed a rift within the upper echelons of the ruling Socialist party.

The newly-elected Socialist Paris mayor, Anne Hidalgo, was a vocal supporter of the tax hike, stating that guests who fork out more than 600 euros per night for a hotel room could well afford to pay a few extra euros.

But several heavyweights from within the country’s Socialist government – including Prime Minister Manuel Valls, Foreign Minister Laurent Fabius, and Finance Minister Michel Sapin slammed the proposed tax hikes as being "much too high". They backed the hoteliers’ claim that such an increase would deal a serious blow to the tourist industry in France.

The tourist tax hike plan came on the heels of a government plan to increase visitor numbers from the current 83 million a year to 100 million.

Despite its popularity with foreign visitors, the French capital suffers from the reputation of being one of the most expensive cities for hotel rooms.

Date created : 2014-07-16

  • FRANCE - TOURISM

    Proposed law would increase Paris hotel tax by 500%

    Read more

  • FRANCE

    France begs its citizens to lighten up with tourists

    Read more

  • FRANCE

    Loophole in France’s 'homemade' cuisine logo cooks up a storm

    Read more

COMMENT(S)