Cruise head tax increase coming

After almost 30 years without adjustment, Barbados’ “head tax” on cruise ship passengers is to be doubled.

This was among the revelations on Monday from Minister of Tourism and International Transport Ian Gooding-Edghill as his ministry was the first to be examined during debate in the House of Assembly on the Appropriation Bill 2023, commonly referred to as the Estimates Debate.

Gooding-Edghill, who replaced Senator Lisa Cummins at the helm of the ministry following a Cabinet reshuffle last October, announced the tax would increase from US$6 to US$12 from November 2024.

The “head tax” which is levied on every cruise passenger to the island, was once a major bone of contention between cruise operators under the Florida Caribbean Cruise Association and some regional governments who, at that time, felt the industry needed to make a greater financial contribution to the sustainability of island destinations.

On this occasion, however, Minister Gooding-Edghill said the cruise ship operators did not put up a fight against the increased levy, conceding it had been decades since an adjustment was made to the tax.

Responding to questions from Member of Parliament for St John Charles Griffith, the Tourism Minister said the cruise sector understood the need for the rate adjustment. He also noted the lengthy notice before implementation of the increase would allow the cruise sector enough time to incorporate the hike into its operations.   

According to Gooding-Edghill, Barbados had maintained a high level of goodwill with key players in the international cruise sector because of the island’s decision to provide a safe harbour for cruise ships during the COVID-19 pandemic while also facilitating the return home of thousands of stranded crew members when ports across the region rejected them over COVID-19 infection fears.

The St Michael West Central MP also told the Lower House the cruise sector had extended its gratitude to former Minister Cummins and Prime Minister Mottley for the assistance rendered during one of the most disruptive periods in its existence.

He said the cruise sector was extremely competitive; however, Barbados remained among the top three destinations in the Caribbean. 

(IMC1)