New Proposed Welsh Tourism Tax: The Implications

A new tourism tax of £1.25 per person per night could be introduced in Wales starting April 2027, following the publication of draft legislation by the Welsh government who argue that the levy could raise £33m annually. The levy, that would be applicable to hotels, B&Bs, and self-catered accommodation, would be charged per person (including children) and there would be a reduced rate of 75p that would apply to those who stay in hostels and campsites. The levy has sparked criticism from opposition parties and industry groups, who warn the tax may deter tourists and harm Wales’ vital tourism sector.

Commenting on the wider implications of the proposed levy, Spencer West Corporate Partner, Penny Paddle states “The introduction of a tourism levy in Wales could have significant implications for the leisure, tourism, and hospitality sectors. Whilst the legislation aims to reduce the burden on local infrastructure and services resulting from a regular influx of tourists by providing additional funding for them, it may also create financial and operational challenges for businesses in these industries.”

Providing further explanation of the levy, The Pembrokeshire Herald has written an article including the expert viewpoint from Penny.

Read the full article here: Wales tourism tax: £1.25 levy proposed from 2027 | The Pembrokeshire Herald