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UK Government says proposed tourism tax will not impact number of visitors to Wales

11 Dec 2024 3 minute read
Portmeirion (Credit: Mike McBey, Wiki Commons)

The UK Government has insisted that a proposed tourism tax will not affect the number of holidaymakers visiting Wales.

Welsh Secretary Jo Stevens said cities in the UK and abroad had a similar levy in place and had not seen an impact.

The Welsh Government is proposing to allow councils to charge £1.25 per night in a tourism tax from 2027, that would affect guests staying in hotels, bed and breakfasts and self-catered accommodation.

Councils would have to opt in to the scheme once the Senedd makes it legal.

Tourist attractions

The Welsh Association of Visitor Attractions (Wava) represents more than 100 tourist attractions across Wales said it could impact visitor numbers at a time when they have not yet returned to pre-Covid visitor levels.

Ms Stevens said: “The Welsh Government has introduced a Bill in the Senedd which will give local authorities in Wales the choice to introduce a levy on overnight stays in visitor accommodation.

“And it will be for individual councils to decide whether they will introduce a small charge paid by people staying overnight in commercially-let accommodation in Wales to help support a thriving tourism industry.”

Visitor levy

She added: “More than 40 countries and holiday destinations around the world have introduced a form of visitor levy, including Greece, Amsterdam, Barcelona and California and many of us have paid the levy while abroad without noticing.

“The money will help support a long-term, thriving, tourism industry in Wales. I am confident that the Welsh Government will work with businesses and tourists alike to get this right.”

Farnham and Bordon MP Gregory Stafford said he was concerned that “some communities are going to be hit harder than others”.

Economic impact

A study on the potential economic impact of the tax by Cardiff Business School and the Welsh Government found that introduction of the levy could lead to a between 250 and 730 full-time equivalent jobs being list.

The brunt would mainly be borne by hotels and food outlets, the report said.

The Wava recommended its members close for the day on Tuesday in protest.

Tourist attractions that are against the introduction of the tax include the Grade-II funicular cliff railway in Aberystwyth.

A final decision may not be made until next year.

Closures

Shadow Welsh secretary Mims Davies said: “Labour’s new tourism tax has merely just created attraction closures and strikes, from the zoo in Ynys Mon to the cliff railway in Aberystwyth.

“The Welsh Government proposal will put more jobs in jeopardy, hotels rooms left empty and will simply send Welsh families across the border on to flights for their trips, treats and holidays.

“Does she really agree with her colleagues in Cardiff Bay that the potential price of 700 tourism jobs and the loss of tourism to Wales together with £40 million of revenue, is a price worth paying?”

Ms Stevens replied: “I’m afraid I don’t recognise any of those figures. In Manchester a similar scheme has been introduced, been highly successful and raised £2.8 million in just one year. She should be more ambitious for Wales.”


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Jeff
Jeff
1 day ago

Travelled a lot in Wales, more than foreign (inc England 😉 ) over the years. Will continue to do so. Might avoid the attractions striking though.

Gareth
Gareth
1 day ago

As with most things proposed in the Senedd, the same minority of empty vessels will make the most noise. As with the 20mph protest, half a million signatures claimed that this was the view of the poeople of Cymru, but less than 20 turn up to any of the protest gatherings, and 7 of around 100 tourist business vote to strike.

Rheinallt Morgan
Rheinallt Morgan
1 day ago

When did the UK Government last get something right?

Mab Meirion
Mab Meirion
1 day ago

Any news on Tan-y-Bwlch?

Jonathan Dean
Jonathan Dean
1 day ago

That must be why there is an airport at Manchester – so Mancs can escape the tourist tax

Richard Davies
Richard Davies
1 day ago

I have decided that as a result of this tourism levy, I will only go on holiday within Cymru but will not visit the 7 establishments that closed their doors in protest.

Welshman28
Welshman28
1 day ago

Who in gods name believes anything Jo Stevens says ( she is very economical with truth) , her example that Manchester has this tax is pathetic

Bethan
Bethan
2 hours ago

This is not a tourist tax, it’s a visitor levy. If you live in Wales and need to spend a couple of nights somewhere else in Wales – even if that’s for work – you will pay it. Even kids going on educational trips will have to pay it. You take a group of Guides or Scouts from Aberystwyth for a trip to – say – an outdoor education provider in Gwynedd, you’ll have to pay for each one of them. One of the biggest issues affecting the tourist sector at the moment is the cost of living and adding… Read more »

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