Cutting VAT on tourism a 'non-runner', says Lord Bourne

Lord Bourne said tourist attractions need to be better promoted

Cutting VAT on the tourism industry is a "non-runner" while there is such a large budget deficit, according to the new Wales Office minister Lord Bourne.

The Cut Tourism VAT campaign calculates almost 6,000 jobs would be created in Wales if the tax was reduced to levels similar to other parts of the EU.

Dropping the rate from 20% to 5% would boost the Welsh economy by almost £170m a year, it added.

But Lord Bourne said tourist attractions need to be better promoted.

The former Welsh Conservative leader has recently been appointed as a minister in the Wales Office.

He told the Wales at Work programme that the focus should not be on tax cuts for businesses operating in the tourism sector.

"What is important is that people are aware of the fantastic things that exist in Cardiff and throughout Wales," he said.

"We have free entry to national museums for example... many countries don't have that free entry."