Tourism chiefs have accused Gwynedd Council’s leader of ‘fuelling an anti-tourism’ agenda.

Dolgellau councillor Dyfrig Siencyn, who is leader of Gwynedd Council, called for changes to be made to grant guidelines so that second-home owners who have converted to business rates to avoid paying higher council tax rates, do not have access to £10,000 business support grants.

The Welsh Government responded this week by tightening up the rules on which holiday let businesses can get support.

Cllr Siencyn said it was “unethical that wealthy second home owners who have cynically played the system have access to the public purse to line their own pockets”.

But tourism groups in two seaside towns have hit back.

The chairman of the Barmouth Publicity Association said: “Tourism is our lifeblood. Holiday lets are the backbone of that trade. It is time for this narrative against ‘second home owners’ to stop.”

And Tywyn & District Chamber of Tourism & Commerce accused Cllr Siencyn of fuelling an ‘anti-tourism agenda’.

Iain Paterson, regeneration officer at Tywyn CTC, said some of Cllr Siencyn’s comments were “shocking” and that if a minority of second homes owners are abusing the system, local councils and HMRC should investigate.

Mr Paterson said: “In our opinion, some of his comments are quite shocking; ‘cynically played the system’ ‘to line their own pockets’, for example, and stating that these owners are ‘wealthy individuals’

“If there is a minority of second-home owners who are abusing the business rate relief system by claiming they are letting their properties and they are not, then that’s a matter for the local councils and HMRC to investigate and they should.

“He did not make a very clear distinction between genuine holiday-home business and owners who are abusing the system. He needs to recognise the huge contribution that bona fide holiday-home businesses make to our rural community.

“The leaders of Gwynedd Council need to have a long hard think about whether they want a viable tourist industry in the county, because at the moment it looks like they just have contempt for it.”

David Brown, chairman of the Barmouth Publicity Association, said in a letter to the Cambrian News that he had been contacted by “deeply concerned” members.

He said: “Given that properties cannot claim business rates relief unless they can demonstrate that they are trading as a business, it is outrageous that these businesses were having their Covid-19 grants withheld. For many of these owners the holiday let is their sole source of income, an income which has simply disappeared.

“Tourism is our lifeblood. Holiday lets are the backbone of that trade. It is time for this narrative against ‘second home owners’ to stop.”