The chief executive of North Wales Tourism has criticised Airbnb for its “cynical support” for the Welsh Government’s plan to introduce a tourism tax.

Jim Jones described the controversial tax as a “flawed idea”, but Airbnb backs the idea and said it wants to work with Welsh Government in a bid to tackle so-called “over tourism”.

But Mr Jones said: “Instead of the Welsh Government prioritising the recovery and optimistically talking growth, such as a one per cent increase in tourism spend which would add an extra £20m to the economy, we find ourselves back to 2017 when the then finance minister Mark Drakeford was trying to push through four new taxes, one being tourism tax.

“We told him then as we tell him now, this is not welcomed by the majority of the industry.

“It is counter-productive and will damage our economic performance, brand and prospects.

“It will also increase social exclusion, undermine policies to create a healthier and more active Wales, limit opportunities for economic growth in Welsh-speaking heartlands and disproportionately impact those least able to afford to take a holiday.

“It is extremely insensitive that Welsh Government are talking about this, and could not have come at a worse time for our industry, raising the subject knowing full well it will play into the anti-visitor mantra.

“I’m also very disappointed Airbnb support a tourism tax. I believe this is a cynical move by Airbnb which now charges hosts 15 per cent commission.

“They are not on a level playing field with our serviced accommodation sector, there is a statutory misalignment - many Airbnb hosts can have no business insurance nor public liability insurance, have no responsibility to test electronic equipment and can freely dispose of waste through their local authority as if domestic tenants.

“Once they have the same statutory obligations as us, they can contribute to the discussion, but as it stands, they are unequal partners in this industry and their opinion in my view is redundant.

“A majority of Airbnb owners are not registered for business rates and are unregulated, so how on earth would they propose to ensure compliance?

“The Welsh Government should be undertaking an urgent reform on a system that is currently unfair, as they tax and punish success in hospitality businesses, because it’s being based on turnover, much of which is unprofitable.”

An Airbnb spokesperson said: “We support plans for a tourist tax in Wales and welcome the opportunity to work with Welsh leaders to make it a success, as we have done already by helping generate nearly £2.5 billion in tourist tax revenue in approximately 30,000 jurisdictions around the world.”

A Welsh Government spokesperson said: “We are discussing how a tourism levy could be best taken forward with the tourism sector and our partners in local government. Our Programme for Government commits us to consulting on legislation and this process will determine the detail of any proposals. Our focus will continue to be on supporting the tourism sector in its recovery.”