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Barbados’ proposed Tourism Levy (Amendment) Bill has faced vehement opposition from Independent Senator Andrew Mallalieu, who characterized the legislation as fundamentally flawed and potentially damaging to the nation’s vital tourism sector. While acknowledging tourism’s crucial role in national financing and clarifying that the bill introduces no new taxes, Mallalieu systematically dismantled the proposed changes during Senate deliberations.

The core contention revolves around shifting collection responsibilities to international online booking platforms. The amendments would mandate that digital marketplaces—regardless of their global location—register with the Barbados Revenue Authority and remit tourism levies directly. Mallalieu warned this approach would create enforcement loopholes, weaken local operators, and misplace liability within the taxation system.

Expressing particular concern about the expanded definition of “online marketplace,” the senator noted the legislation could potentially ensnare over 500 vacation rental platforms, many without physical presence or direct relationships with Barbadian property owners. The current system places levy payment responsibility squarely on property owners or appointed managers, but the amendments would push this obligation to offshore entities that may lack knowledge of property ownership or taxpayer information.

Mallalieu highlighted alarming provisions allowing property liens for non-remitted levies, even when failures occur at platform level—a precedent he described as deeply troubling for Barbadian law. He further argued the legislation unfairly burdens compliant operators while unlikely capturing non-compliant ones.

The senator reserved sharpest criticism for the drafting process, revealing that neither he nor major industry stakeholders received consultation. After contacting villa operators, sharing-economy businesses, and the Barbados Hotel and Tourism Association, Mallalieu confirmed none had been engaged in legislative discussions, questioning how vital industry legislation could advance without operator input.

A contentious political debate has emerged regarding the government’s proposed land acquisition adjacent to Savvy on the Bay, with Opposition Senator Ryan Walters leading criticism against what he characterizes as unnecessary targeting of an established small business enterprise.

During parliamentary deliberations on the Tourism Levy (Amendment) Bill, Senator Walters challenged the administration’s rationale for acquiring the neighboring parking facility, citing recent formal notices that have generated apprehension among local entrepreneurs. The senator articulated concerns that the move contradicts the government’s stated commitment to fostering business development.

Housing and Lands Minister Christopher Gibbs attempted to allay fears, asserting that business operators should remain unworried about the acquisition process. “Our objective as an administration is to promote entrepreneurial ventures, not to impede business operations,” Gibbs emphasized, promising maintained access and improved facilities upon project completion.

However, Senator Walters presented contradictory firsthand observations from multiple visits to the Bay Street location. “I’ve frequently visited Savvy on the Bay, utilizing both on-site and opposite parking facilities without encountering access restrictions,” the opposition legislator recounted. He described unimpeded beach access with his family, including purchases from local vendors and bar patronage without property disputes.

The senator questioned the government’s particular interest in this specific parcel, noting numerous alternative development opportunities along Bay Street. He highlighted underutilized properties including the former Mobil service station and abandoned fish market as preferable alternatives. “Why pursue a plot supporting an active business when vacant lands remain available just a stone’s throw away?” Walters inquired.

The opposition figure expressed bewilderment at the government’s approach, suggesting the strategy contradicts public encouragement of entrepreneurship and has generated confusion among both business operators and observers alike.

A contentious debate erupted in the Barbados Senate on Wednesday as government and opposition legislators fiercely disagreed on the Tourism Levy (Amendment) Bill and the broader economic contribution of the nation’s vital tourism sector. The proposed legislation introduces significant fiscal measures targeting the hospitality industry, including a novel shared-economy levy that mandates global online booking platforms to collect and remit a 10 percent tax directly to the Barbados Revenue Authority.

Opposition Senator Ryan Walters challenged the government’s recurring assertion that ‘tourism pays the bills,’ presenting a critical analysis of the sector’s recent performance. While acknowledging tourism’s historical importance, Walters cited a dramatic decline in its contribution to GDP, which he claimed has fallen from approximately 13 percent between 2016-2018 to below 5 percent in 2023-2024, projecting this trend to continue through September 2025. ‘That does not qualify the statement that tourism pays our bills,’ Walters contended. ‘That is saying the government can no longer afford to pay its bills.’

Government Senator Lisa Cummins mounted a robust defense, presenting countervailing data from the Central Bank of Barbados indicating strong post-pandemic recovery. Citing the October 2025 quarterly report, Cummins highlighted a 5.5 percent increase in long-stay arrivals over the first nine months of the year, with particularly strong rebounds from key markets including the United Kingdom, which reached 2018 levels by 2021. US arrivals grew by 12 percent between 2021-2022, with European markets showing comparable recovery trajectories.

Cummins contextualized the post-2018 decline, noting that Barbados was poised to exceed 900,000 visitors by February 2019—surpassing the 2018 benchmark of 800,000—before COVID-19 necessitated widespread shutdowns. Addressing employment sustainability, she outlined government strategies to develop year-round tourism, including targeted engagement with luxury cruise lines during traditionally slower summer months. These smaller, high-end vessels, while carrying fewer passengers, attract premium-spending tourists whose economic impact rivals that of higher-volume, lower-spending arrivals.

A prominent Caribbean labor leader has issued a stark warning that political divisions within the CARICOM bloc threaten to undermine regional stability and economic security. Dennis de Peiza, General Secretary of the Barbados Congress of Trade Unions and Staff Associations (CTUSAB), expressed alarm over the absence of unified condemnation from Caribbean governments regarding recent U.S. military operations near Venezuela, describing it as a dangerous precedent for the region.

De Peiza emphasized that this collective silence jeopardizes the Caribbean’s identity as a zone of peace and carries profound implications for the region’s economic and political cohesion. The labor leader endorsed Antiguan Prime Minister Gaston Browne’s call for greater unity among member states while expressing deep concern over Trinidad and Tobago Prime Minister Kamla Persad-Bissessar’s characterization of CARICOM as ‘dysfunctional and self-destructive.’

According to de Peiza, such rhetoric echoes the political fragmentation that led to the collapse of the West Indies Federation in 1962 and represents a worrying trend that could weaken the regional bloc’s effectiveness. He stressed that Caribbean nations, despite their small size, occupy strategically important positions and must maintain coordinated foreign and security policies.

The labor leader also highlighted increasing pressure from the United States through travel advisories and visa restrictions, noting that these developments make regional unity more crucial than ever. While acknowledging the region’s dependence on U.S. tourism, de Peiza criticized Caribbean reliance on external markets and urged accelerated progress toward economic diversification.

‘We possess the collective capacity to achieve food security and develop sustainable industries,’ de Peiza stated, pointing to the agricultural potential of Guyana, Jamaica, Haiti, Trinidad and Tobago, and Barbados. He challenged regional leaders to implement progressive policies that would reduce external dependency and create employment opportunities within the region.

Concluding his assessment, de Peiza called for substantive changes to national and regional development agendas, emphasizing that continued adherence to outdated approaches would prevent the Caribbean from achieving its full economic potential.