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'Massive success': Calls renew for bed tax after SailGP event

Author
NZ Herald,
Publish Date
Thu, 23 Jan 2025, 4:19pm

'Massive success': Calls renew for bed tax after SailGP event

Author
NZ Herald,
Publish Date
Thu, 23 Jan 2025, 4:19pm

A high-profile promoter is backing calls for a bed tax following the success of the SailGP event over the weekend.

Auckland Mayor Wayne Brown proposed a bed tax of 2.5% to 3% in December to fund a $7 million shortfall for major events. Any bed tax or levy would need central government legislation.

Over 25,000 people flocked to Auckland鈥檚 waterfront to watch the sailing, with T膩taki Auckland Unlimited, the council-controlled organisation (CCO) tasked with promoting and delivering events, forecasting a $5.2m GDP contribution and economic impact from the event. That鈥檚 after it forked out $1,050,000 for the hosting fee.

Dean Lonergan believes this was a worthwhile investment but it highlighted the importance of implementing a bed tax in Auckland.

鈥淚 think you鈥檇 see a whole lot more revenue raised to be put back straight into the creation of great events here,鈥 he told 九一星空无限talk ZB鈥檚 Jason Pine on Monday.

鈥淚鈥檇 like to see a combination of taxpayer-funded events as well as the bed tax but that seems to be pretty controversial ... I don鈥檛 understand the resistance to it but it is what it is.鈥

Lonergan considered the sailing 鈥渁 massive success鈥 and the 鈥減erfect kind of event鈥 for Auckland.

鈥淭hose boats are absolute rocket ships on the water. It鈥檚 quite incredible watching them go. It鈥檚 a great way to show off Auckland Harbour.

鈥淭hat鈥檚 the sort of event you want to see that feeds into publicans, feeds into the restaurants, it feeds into taxis, and the hotel room nights. And of course, we had Luke Combs for two nights selling out bloody Eden Park. So Auckland [is] doing a good job to attract some of the major events. It鈥檇 be nice to see them have a bit more money to get a bit more in, but they do their best on a limited budget.鈥

Promoter Dean Lonergan. Photo / Photosport
Promoter Dean Lonergan. Photo / Photosport

Brown told the Herald in a statement his position on a bed tax was clear, but he was keen for Aucklanders to have their say on this year鈥檚 annual budget.

鈥淎 bed night levy is crucial if Auckland is going to attract more big concerts and international sporting events like the America鈥檚 Cup, and SailGP.

鈥淚 acknowledge these events are important to many. While I don鈥檛 believe ratepayers should wear the cost, I do support these events taking place. Ultimately, it is up to the Government to decide if they will give Auckland the power to set a bed night visitor levy.鈥

Meanwhile, Auckland is in discussions to secure a long-term deal for the SailGP, according to its CEO Sir Russell Coutts. He praised the quality of racing and support of the crowds, with the waterfront stadium on Wynyard Point packed out over the weekend and he thought local businesses were doing well as a result.

鈥淲e鈥檝e already started the talk about coming back here long-term, which I think is the real benefit for a venue,鈥 Coutts said on Sunday.

鈥淚f we can put together a five-year 鈥 for example 鈥 term, and you come back every year; it鈥檚 all very well to have a great one-off event, but if you can come back year after year and build the brand equity and build the awareness, then you will get more people travelling from Australia and so forth, and even the US, coming down here for the event and then holidaying in New Zealand. Which is, of course, what it鈥檚 all about.

鈥淲e鈥檙e certainly keen to do that. We wanted to try Auckland to see if it worked. It clearly has, so we鈥檙e talking about a long-term arrangement.鈥

The event in Auckland was the third of a four-year hosting commitment in New Zealand, with Christchurch hosting the first two editions on Lyttelton Harbour.

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