Scrutiny Committee has commissioned a report to consider an update on tourism work across the city, alongside work being undertaken to explore the implementation of a tourist tax for the city.

Councillor Alex Hollingsworth, Cabinet Member for Planning and Culture, Clive Tritton, Interim Director of Economy, Regeneration and Sustainability, and Diana Fawcett, City Centre Manager have been invited to present the report and answer questions.

The Committee is asked to consider the report and agree any recommendations.

Scrutiny Committee had commissioned a report to consider an update on tourism work across the city, alongside work being undertaken to explore the implementation of a tourist tax for the city. 

 

The Committee was asked to consider the report and agree any recommendations. 

 

Councillor Alex Hollingsworth, Cabinet Member for Planning and Culture, and Diana Fawcett, Oxford City Centre Manager, were present to respond to questions.  

 

Councillor Hollingsworth introduced the report, explaining that it provides a broad summary of ongoing actions relating to tourism in Oxford City centre which are subject to high tourist levels from visitors across the world and the associated benefits and challenges. The Committee were informed that positive change in recent years has ensured that on average, tourists often now stay longer overnight and attend more events and facilities within Oxford and the surrounding areas.  

 

The City Centre Manager provided a summary of the impacts of tourism and potential funding routes in line with the presentation enclosed within the agenda. The Committee were informed that the statistics enclosed relate to 2023 and demonstrate the popularity of Oxford as a global city with international reputation. Following the pandemic, it has been noted that countries within Asia and North America have started to return to Oxford in larger numbers and have contributed to the boom observed in 2024 which is a shared trend across other regions such as Europe. The City Centre Manager recognised the impacts that accompany increased tourism and assured Committee members that funding options are being explored to manage this considering that the City Centre Action Plan has no funding available for tourism related issues. The Committee were assured that the matter is being considered with importance as tourism affects anyone living and working in the city, and not just those visiting. As such, focus is being paid to supporting overnight stays and hotels to ensure more stable employment levels in the hospitality industry.  

 

In relation to the proposed Accommodation Business Improvement District (ABID), the City Centre Manager emphasised that the Council is a facilitator and not the levy payers as the ABID would be set up and manage by an independent company. As such, the Council cannot decide if the bid goes ahead but can support facilitation of the process. The Committee heard details relating to similar examples in Manchester and Liverpool and understood that the project is a positive opportunity to generate funds for the city. The City Centre Manager explained however that any funds resulting from the ABID could not be used on Council services under existing legislation. There is no legislation currently in England that allows a ‘tourist tax’ but such has been discussed in locations such as Edinburgh. An ABID is the only legislation in England that allows a levy charge.  

 

The City Centre Manager summarised other funding options which had been considered and explained the rationale for supporting the ABID which would involve around 29 hotels. On a presumed hotel occupancy rate of 75%, and a presumed charge of £2 per room per night, the project could generate around £1.3m per annum over a 5-year period. It was noted that these parameters would be set by the levy payers. Furthermore, it was also explained that University colleges have also been engaged with to set up a College Task Group. There will also be consideration given to an overarching team to cross reference projects across both Task Groups. 

 

The City Centre Manger outlined the next steps being taken, including setting up tourism task groups with hoteliers and colleges to consider projects and analyse numbers.  

 

Finally, the City Centre Manager emphasised that the overarching aim of the Council in relation to the ABID is to facilitate bringing people together and to raise money for the city. The Committee also understood that the Council seeks to take time in considering this process rather than rushing to ensure that the most successful outcomes possible are achieved and strong relationships are developed.  

 

Councillor Hollingsworth explained that the decision to adopt an ABID would not lie with the Council, however it can encourage the project by building partnerships and trust with a range of business and non-businesses. The Committee were also assured this was not a tourist tax; it is an option to raise money from tourism accommodation to spend on further supporting tourism in Oxford. Councillor Hollingsworth emphasised the preference for the Council to take time to garner support from decision makers.  

 

The Chair invited the Committee to ask questions. 

 

Councillor Jarvis left the meeting.  

 

Councillor Qayyum asked what percentage increase was there in tourism from pre-Covid to 2023 and requested further information on the negative impacts of tourism specifically relevant to Oxford. Councillor Qayyum also commented positively on the ABID and the potential for it to include colleges.  

 

Councillor Fry, in refence to the City Centre Action Plan not being funded by the City Council budget, asked whether it was likely that the ABID could pick up this gap. 

 

Councillor Henwood requested clarification around the definition of a ‘tourist’ being utilised, and whether it includes groups such as persons on business trips.  

 

Councillor Jarvis rejoined the meeting.  

 

Councillor Hollingsworth clarified that ‘tourist’ is used as a collective term and specific groups within this, such as those on business trips, are not split out. In response to Councillor Qayyum, statistics relating to the pre-Covid period where not available but could be sourced. In regards negative impacts of tourism in Oxford specifically, Councillor Hollingsworth listed in detail some transport impacts and effects in residential areas relating from short-term lets. In relation to the ABID and City Centre Action Plan, it was explained that if the project went ahead, levy payers could decide if they wanted to allocate funds to help alleviating some negative impacts of tourism e.g. better toilet facilities. 

 

The City Centre Manager addressed the governance of meetings relating to the ABID to emphasise to the Committee that the choices of projects to fund are subject to agreement by levy payers through the task groups. A variety of stakeholders, including residents, could have their views heard by the Task Groups as to which projects they would like considered. 

 

Councillor Mundy requested further clarification around what the money from the ABID could be spent on and what would classify as ‘enhancements’.  

 

Councillor Ottino firstly queried the admin costs to the Council and how they would be limited, and secondly, how communication and the spread of benefits from the ABID amongst residents living further from the city centre would be ensured. Lastly, Councillor Ottino asked whether any of the hotels included are those used by probation and social services for emergency accommodation, and how it could be ensured they were not subject to the levy costs.  

 

Councillor Mundy asked further questions: 

• Whether there is a cost impact on those choosing to stay overnight in the city and whether this could be a deterrent 

• Whether a flat rate would be the most appropriate approach. 

• Whether there are means of ensuring lesser-known areas of Oxford were promoted to tourists as a means of diversifying the attractions of the area, and if further thought could go into this. 

• What is being done to improve the streets and reduce empty units. 

• What is being done, or could be done, to ensure the salaries within the tourism sector are aligned with the living wage.  

 

Councillor Hollingsworth clarified that the use of funds from the ABID is subject to current legislative requirements and could be used for items such as lighting improvements, for example. It was emphasised that it could not be used for Council services which are legally required or being funded. In regards communication with residents, Councillor Hollingsworth assured the Committee that it is key to consider how tourism is presented and how to ensure it benefits all persons within the area and is meaningful. In response to Councillor Mundy, it was agreed that there are lesser-known areas of Oxford such as the river which could be enhanced for tourism and efforts could be made to support this.  

 

The City Centre Manager, in response to Councillor Ottino, explained that admin costs (including Officer time) and the appointment of consultants for the facilitation of the Task Groups are covered by the Shared Prosperity Fund. The Committee therefore understood that admin costs were not being covered by taxpayer money. Regarding communication with residents, the City Centre Manager listed the measures being taken including an imminent press release and resident engagement via the task groups. In response to Councillor Mundy’s concern regarding cost implications, it was explained that based on existing examples, tourists are not being deterred by costs added to overnight stays. It was also emphasised that budget hotels could be excluded from the levy. In regards city centre management and city improvements, working groups have already been set up to listen to stakeholder views on areas which need work, including St. Michael’s Street and the Botley Road Traders. The Committee learned that every quarter, residents, and businesses are invited to share their views at networking events and landlords are also engaged with in efforts to attract the right tenants in the city. Finally, the City Centre Manager responded to concerns around tourism sector wages and noted no significant awareness with issues. 

 

Councillor Miles joined the meeting. 

 

Councillor Azad asked what could be done to better the experience of tourists arriving in personal vehicles in relation to parking availability. 

 
Councillor Fry emphasised the shortage of public toilets in Oxford City and the dissatisfaction that exists around the matter.  

 

The Chair, in connection with Councillor Fry’s query, asked whether money from the ABID could be used to support the availability of toilets which are not directly owned by the Council, such as those offered by private companies in the city centre.  

 

Councillor Miles, in relation to the demographics of tourists frequenting Oxford, requested further information relating to the nationalities, languages, and ages of tourists. It was also asked how it can be ensured that the needs and interests of underrepresented groups be better met.  

 

Councillor Hollingsworth, in response to Councillor Azad, explained that it would be impossible for Oxford city to sustain parking for the number of tourists arriving by car and therefore it is better to encourage transport to the area via alternative means.  

 

The City Centre Manager thanked the Committee for the wide range of questions posed. In response to Councillor Fry and the Chair, it was acknowledged that there used to be a Community Toilet Scheme targeted at increasing availability of public toilets access across the city However, the Committee heard of the complex problems and costs associated with this, and the valid unwillingness of businesses to participate without funding and support. The Committee were assured that case studies across Europe are being assessed to consider future options for easing this issue in Oxford. In response to Councillor Miles, the City Centre Manager noted the difficulty in obtaining detailed demographic information but explained that with technological advancements, it is possible to analyse footfall and in future the origin registration of mobile phones. At present therefore, most demographic information is anecdotal. The Committee were informed that to cater to various tourist groups, information points located across the city, are currently being branded as tourist hubs and based on feedback other projects are being considered to support the visitor and resident experience. The City Centre Manager noted that these efforts seek to present Oxford as a welcoming and inclusive city. Councillor Hollingsworth reiterated the value on phone data and the use of online maps for tourists.  

 

Councillor Miles queried firstly, whether the tourist offer around the river and water sports could be enhanced, and secondly, what work is being done to assess future purposes of the Town Hall building and its tunnels.  

 

The Chair requested guidance on geographic modelling and where the city centre boundary ends, and asked what scope there is for democratic involvement of the Council in the ABID task groups.  

 

Councillor Hollingsworth reiterated his earlier comments relating to the tourist offer of Oxford’s rivers. In reference to the tunnels, it was noted that the costs relating to this would be beyond that which the ABID, as a private company, would unlikely be willing to invest in another private landowner.   

 

The City Centre Manager agreed with comments relating to the underuse of Oxford’s waterways within the tourism sector and informed the Committee than an app is being considered to support promotion of all locations. In response to the Chair, the City Centre Manager noted the risks of expecting too much Council involvement in the task groups and the possibility of this causing other task group attendees to disengage. The Committee understood that there was an expectation of some Senior council officer or Senior councillor involvement, but that the public and private balance would require careful consideration. 

 

The Chair invited the Committee to discuss possible recommendations.  

 

The Committee resolved to make the following recommendation(s) on the report to Cabinet: 

1. That the Council take further steps to publicise the locations of public toilets that are accessible to visitors and residents alike, such as those in the Town Hall and other public buildings. 

2. That Council encourage the highest possible level of elected representation within the ABID task groups, within the constraints of the scheme, in order to promote democratic accountability, recognising the Council’s role as the scheme’s facilitator. 

 

The Chair thanked the Cabinet member and officers.   

 

The City Centre Manager and Councillor Hollingsworth thanked the Committee for the variety of questions received. 

 

The City Centre Manager and Councillor Hollingsworth left the meeting and did not return.  

The Chair suggested that the Committee break for 5 minutes.  

 

 

The Committee paused at 19.38. 

 

The Committee resumed at 19.45. 

 

 

Councillor Rowley had left the meeting during the break and did not return.