Tourism bosses welcome Dubai’s move to scrap alcohol tax

Holiday prices predicted to fall as city axes 30% levy

Tourism bosses welcome Dubai’s move to scrap alcohol tax

Travel industry bosses have welcomed news that Dubai has scrapped its 30% alcohol tax in an apparent bid to boost tourism.

Dubai will also stop charging for personal alcohol licences, which residents who want to drink at home must obtain, reports the BBC.

This latest move is believed to be an attempt to make the city more attractive to foreigners, in the face of competition from neighbouring destinations, according to The Telegraph.

Antonio Fellino, managing director at Travel Republic – part of Dnata UK, which is owned by the Emirates Group – said: “This is great news for travellers who are looking to visit Dubai, as holiday prices will become cheaper, as costs for hotels and accommodation providers will fall.

“Prices on all-inclusive holidays, which are generally proving really popular this year and particularly to destinations such as Dubai, will also become competitive and therefore more affordable for all.

“It’s a very welcome move by Dubai and I am sure that the UK market will react favourably as consumers are looking for exceptional value for their holidays this year, and to be able to purchase alcohol and enjoy a drink more cheaply will be a bonus for visiting holidaymakers.”

Tim Cordon, Radisson Hotel Group’s chief operating officer for the Middle East and Africa, told the Telegraph that the move is “extremely positive” for restaurants and hotels.

The newspaper reported that a pint of beer can cost more than $15 (£12) at restaurants and bottles of wine can start at more than $100 (£82). Liquor licences cost about $70 (£58) a year.

The BBC said that Dubai has been relaxing laws for some time, allowing the sale of alcohol in daylight during Ramadan and approving home delivery during the pandemic.

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