The HST will have “huge consequences” for the hospitality and tourism industry, says Spencer Herbert, the provincial NDP critic for tourism, culture and the arts.

Herbert has been touring the Kootenays the past few days with Columbia River-Revelstoke MLA Norm Macdonald and attended a meeting of the Cranbrook Arts Council Monday.

The Vancouver-West End MLA says concern is mounting about the HST as the controversial tax is due to become law July 1. “In an area like this where much of your business comes from Alberta and the U.S., it’s going to create havoc and huge job losses because the business won’t be there anymore.”

Herbert says the HST is now going to pack a double whammy because of Washington State’s decision to give BC visitors a sales tax break on goods purchased in the U.S. state once the harmonized sales tax comes into effect. In most cases this will amount to an eight per cent rebate, Spencer said.

“That’s a worst case scenario for businesses up here because it makes it easier for cross-border shoppers to go to Washington for a weekend or a little vacation and while they’re down there make some big purchases too.”

Asked what the NDP would do about the HST, both Spencer and Macdonald insisted the new tax could be reversed even though it’s joint federal-provincial legislation.

“Governments can review any decision and this decision can be reviewed as well and reversed. It’s not a big deal, but there would be complications,” says Macdonald. “Let’s face it. The people have spoken loud and clear that they don’t want the HST and the Liberals should respect that.”

Spencer, 29, the youngest MLA in the B.C. Legislature, was elected in a byelection in 2008 after former Liberal Minister Lorne Mayencourt stepped down to run federally. He says he’s also concerned about the gambling situation in B.C.

“There’s been a huge increase in gambling in the province and the money was supposed to go to community charities like the Cranbrook Arts Council. Now organizations like this are going broke and tens of millions of dollars are going into general revenue.”

Macdonald accused the Liberals of “breaking a social contract” with the people of B.C. when they reversed their earlier position against gambling in the province.

“If we we’re going to accept gambling it was supposed to result in more money coming back into the community, but that’s not the case.”

Macdonald said there’s “huge outrage” in arts and culture groups around the province over lack of gaming funds they were supposed to be receiving from government. They need these funds to survive.”