Politics

England’s proposed visitor levy raises hospitality jobs warning

English mayors and other local leaders could reportedly gain power to impose an uncapped charge on overnight stays, with UK Hospitality warning of potential job losses.

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Adrian Cole
Political Correspondent
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Source: The Guardian Politics · View original source
Man wearing glasses and a navy suit standing outside a building with dark windows
UK government plans

The UK government is reportedly preparing to allow English mayors and other local leaders to impose an uncapped overnight visitor levy on hotels, holiday lets and bed and breakfasts.

The plans, reported by The Guardian, would give local authorities the power to introduce the charge, but would not require every area to do so. The government’s detailed scheme, including possible rates and participating areas, has not yet been published.

UK Hospitality chief executive Allen Simpson warned the measure could affect tourism and hospitality employment. He said a levy set at 5% could result in 33,000 job losses, an estimate attributed to the industry rather than an independently verified forecast.

Simpson also estimated that the charge could add about £100 to £120 to the cost of an average family holiday. He acknowledged that mayors would not be obliged to introduce the levy, but argued local government funding pressures could encourage them to use the new revenue-raising power.

Communities Secretary Angela Rayner was due to meet regional mayors to discuss the plans. Andy Burnham and Steve Rotheram have previously campaigned for an English visitor levy, while Keir Starmer included an overnight visitor levy bill in the May King’s Speech.

Scotland and Wales already operate visitor-levy systems. Wales reportedly has a cap, while Scotland has no technical upper limit, the model England is expected to follow.

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