Dermot King said the UK’s hospitality industry found it difficult to match the financial appeal of foreign destinations due to the tax burden it faced.
He told the Mail on Sunday that a reduction in VAT would send a “great message for families” and that if Westminster measured the effect, it “would see the difference”.
He added that so far ministers had been reluctant to cut tourism VAT.
“If the government finds a full VAT cut too expensive, one thing it could do to test whether it works is to reduce VAT for school holidays,” King said.
