TOURIST trips to the Mornington Peninsula are 5.7 per cent below December 2019 levels, while international visitor numbers remain below pre-COVID levels.
Nepean MP and Shadow Minister for Tourism, Sport and Events Sam Groth said there had been 40,000 international visitors to the peninsula in 2023. In calling on the state government to not impose any more taxes in its upcoming budget Groth said tourism on the peninsula remained below pre-COVID levels, with many businesses “struggling to operate”.
Groth said one of the most high-profile businesses which had announced it would close was the Donna Maria restaurant in Flinders. A spokesperson for the restaurant confirmed to The Times on Friday that the restaurant would close “in a few weeks” but would re-emerge in Mount Eliza under the name Bau Bau. Business in Flinders had declined since summer and Mount Eliza was seen as a more profitable location.
“The peninsula will be hit hard by Labor’s short-stay accommodation tax and doesn’t have incentives available that are applicable in regional Victoria, such as payroll tax discounts,” Groth said. “With 53 new or increased taxes introduced by Labor since coming to office, the Allan Labor government must rule out imposing more taxes in the upcoming state budget. “Instead of imposing new taxes and growing its record debt, Labor should be focussed on growing the local economy and laying the groundwork for business and tourism to thrive.”
Groth said Victoria was “lagging behind the nation on the return of international tourism”. The latest visitor data from Tourism Research Australia confirmed Victorian international tourism spending was at 73 per cent of pre-pandemic levels, compared to 96 per cent in New South Wales and 94 per cent in Queensland.
“While overall combined national and international tourism spending in Victoria continues to rise, the Victorian Tourism Industry Council (VTIC) warns Victoria’s growth has stagnated and has called on the Allan Labor Government to scrap its upcoming short-stay accommodation tax as well as develop an underground solution to the Melbourne Airport Rail Link,” Groth said.
“This comes as a range of regional Victorian hospitality venues have gone into administration or closed permanently, as cost-of-living pressures and increasing taxes hamper business conditions.” Operators were blaming their losses on interest rate rises and higher insurance premiums, energy price increases and increases in state taxes and charges, such as liquor license fees.
First published in the Mornington News – 9th April 2024