Finance and Local Government Minister Tourism tax legislation will be introduced to the Senedd in Wales within the next two years, giving local governments the authority to impose an overnight visitor tax. The Welsh government has released the results of a public consultation on the tourism tax that received more than one thousand responses.
According to the Welsh government, the tourism industry in Wales was worth approximately £5 billion in 2019, and supporters say the proposed tax would contribute to maintaining and investing in holiday destinations. However, opponents contend that it would discourage tourists from visiting Wales.
Nia Jones, joint chairwoman of the Anglesey Tourism Association, stated, “Some local authorities are for it – I don’t think we’re talking a huge amount of money, it’ll be a couple of pounds extra for the accommodation sector. The important part is that the money is spent on the tourism infrastructure, and if that occurs and people can see the visible and tangible benefits of the tax, then we wait to see how it works.”
Tom Giffard, shadow minister for tourism for the Welsh Conservatives, stated, “Nothing says welcome to Wales more than Labour’s announcement that they will proceed with their toxic tourism tax as families prepare for the Easter holidays.”
Rebecca Evans, Welsh Minister for Finance and Local Government, stated, “Tourists from around the world can expect a warm Welsh welcome when they visit Wales. However, we can’t pretend that tourism doesn’t have an impact on our communities, and asking tourists to pay a small contribution is simply what countries, regions, and cities around the world are doing.”
Ms. Evans stated that the tax amount is currently being determined, based on where other nations have set their tourism tax rate. She added that it would be difficult to implement a tax on day visitors.
The debate regarding the introduction of a tourism tax in Wales continues. Opponents argue that it would deter tourists from visiting Wales, while proponents claim that it could help maintain and invest in tourist destinations. The Welsh government has published the results of its public consultation on the subject and will introduce legislation within the next two years allowing local governments to impose a levy.
