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Overnight Visitor Levy (aka. "Tourist Tax")
Is this devolved to Wales?

Devolved
The necessary powers are not reserved to the UK Parliament in Schedule 7A of the Government of Wales Act 2006.

Shared Powers
Insert a specific explanation of the powers situation for this issue here.

Not Devolved
The powers over this are reserved to the UK Parliament in Schedule 7A of the Government of Wales Act 2006 (Specific Section/Number/Clause).
In July 2025, the Senedd passed the Visitor Accommodation (Levy and Register) Act.
The law will create a register of visitor accommodation providers.
It also introduces a levy/tax which will be charged to anyone staying in visitor accommodation overnight. This has been set at two levels. The lower rate (75p-per-night) will apply to camping pitches and hostels/dormatories. The higher rate (£1.30-per-night) will apply to all other forms of accommodation.
On 8th July 2026, the Senedd rejected a non-binding motion from Reform UK calling for the levy to be scrapped.
There have been long-standing concerns about the impact of over-tourism on rural and coastal Wales, but also in cities that host major events (particularly Cardiff). While tourism may bring in extra money for businesses, no additional funding is provided to councils.
Money raised by the levy will be retained by local authorities. While they will have the freedom to use this money however they want, it’s suggested councils will use it to cover some of the negative costs linked to tourism, but also to invest in tourist facilities.
Under the law, individual local authorities will decide whether to charge the levy in their areas. As of August 2026, only Cardiff Council have confirmed they will apply the levy.
Consultations have been undertaken in Anglesey, Gwynedd and Conwy and all three authorities have decided either against introducing the levy, or postponing a decision.
Charts (if needed)
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Costs & Economic Impact
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Who has raised this at the Senedd?
What are the party positions on this?
- Supports the levy
- Opposed
- Neutral/No Opinion
Plaid Cymru backbenchers support the levy, pointing to its introduction in parts of England and Scotland.
- Supports
- Opposes the levy
- Neutral/No Opinion
Reform UK oppose the levy and believe it places an unnecessary burden on the tourism industry, negatively affecting cross-border tourism with England.
- Supports the levy
- Opposed
- Neutral/No Opinion
Labour introduced the law in the last term whilst in government. MSs believe the levy will help cover the cost of hosting major events.
- Supports
- Opposes the levy
- Neutral/No Opinion
The Conservatives voted in favour of Reform UK’s motion calling for the levy to be scrapped. They believe it adds extra burdens onto a sector that’s come under increasing pressure.
- Supports in principle
- Opposed
- Neutral/No Opinion
Green MSs haven’t said anything on this specifically, but voted against the Reform UK motion to scrap the levy.
- Supports in principle
- Opposed
- Neutral/No Opinion
Jane Dodds hasn’t said anything on this specifically, but voted against the Reform UK motion to scrap the visitor levy.
What have ministers said?
What's being done about this?
Plaid Cymru had a manifesto commitment to mainain the overnight visitor levy. There are no plans to change this as things stand.
The Welsh Government now considers this to be a matter for individual local authorities to consider, as they will decide whether or not to introduce a levy in their areas.
The Visitor Accommodation (Levy & Register) Act was passed by the Senedd on 8th July 2025. This law would need to be repealed to scrap the levy.
The Overnight Visitor Levy is set to come into effect from April 2027.
What have the Senedd's Committees said?
Nothing has been discussed yet.
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