Wales Approves Tourist Tax
Wales will introduce a tourist tax from 2027, following a new law passed by the Senedd, or the Welsh parliament. In particular, the Visitor Accommodation Bill gives local councils the power to charge a nightly fee to visitors.
Visitors staying overnight in hotels, B&Bs, and self-catering properties may pay £1.30 ($1.75) per night.
Meanwhile, for hostels and campsites, the nightly rate will be £0.75 ($1.01).
Notably, the levy applies only to paid overnight stays, and not to day visitors. Furthermore, exemptions will apply to those staying over 31 days, emergency housing cases, and children under 18 in hostels.
To clarify, however, the tax will not be uniform across Wales. Instead, each local council must consult the public and decide whether to adopt the levy.
The earliest possible launch date is spring 2027, after a registration phase in late 2026.
What it Means for Wales
The Welsh Government plans to use funds to improve tourism infrastructure. These include public toilets, beach maintenance, footpaths, and visitor centres. Crucially, the tax will also support the Cymraeg 2050 goal to reach one million Welsh speakers.
“The levy is a small contribution that will make a big difference to our communities, helping to maintain and enhance the very attractions and services that make Wales such a wonderful place to visit and live,” remarked Finance secretary Mark Drakeford, when authorities passed the law.
Where Will It Be Introduced?
Some councils, such as Gwynedd, Anglesey, and Cardiff, have already expressed interest in implementing the levy. However, others like Newport and Rhondda Cynon Taf have maintained their disinterest in it. Overall, they fear it could discourage overnight stays.
Still, support for the tax is strong among some tourism leaders and Welsh language advocates. For example, campaigners see it as a step toward preserving the cultural identity of Wales.
Wales Tourism Tax ‘Risky Move’
The Welsh government estimates the tax could raise £33 million annually to develop tourist attractions if it is adopted widely.
In a best-case scenario, the policy may create 100 new jobs and boost the economy by £10.8 million. However, the worst-case model predicts 390 job losses and a £7.3 million decline in tourism revenue.
In particular, Welsh Tourism Alliance has warned the levy may hurt small hospitality businesses already facing rising costs. Even so, Visit Wales argues that investing in quality experiences will enhance long-term visitor satisfaction.
How Wales Compares
Wales is not alone. In particular, Scotland will introduce a tourist tax in 2026, starting with Edinburgh and Glasgow.
On the other hand, England already has local levies in cities like Manchester, Liverpool, and Bournemouth. Clearly, visitor taxes are becoming a trend across the UK.
Looking Ahead
All eyes are now on local councils, as their decisions in the next year will determine how widely the Wales tax is used. If successful, it could reshape how tourism supports Welsh communities and culture. However, the true impact—on tourists, businesses, and language revival—will become clear only after the 2027 rollout.
Photo by Daniel Seßler on Unsplash
