In a new move initiated by the UK Government, regional mayors will be granted powers to implement a tourism levy on overnight stays within their area.
The proposed tourist levy would apply to visitors’ overnight stays, and the implementation of fees would be at the decision of mayors and other local leaders to introduce fitting for their area. The move ensures UK mayors have the same powers as their counterparts in cities like New York, Paris and Milan, where charges on short-term trips are already in place. The UK government has highlighted how the introduction of this levy will allow for investment in local transport, infrastructure, and the visitor economy.
Responding to this announcement, Luke Petherbridge, ABTA Director of Public Affairs stated “ABTA has consistently raised concerns about the cumulative impact of increasing taxes and charges on tourists and tourism businesses, with the UK already applying much higher rates of VAT than many countries and levying the highest air departure tax in the world.
Petherbridge continued, “Against that backdrop, it’s hard to see how a further tax will not simply worsen the UK’s situation when it comes to competitiveness. We will be engaging with industry partners to respond to the consultation in the coming weeks.”
