New tourist tax in 2027?

The Welsh Parliament established a new law known as the Visitor Levy Bill on 8 July 2025, allowing local councils in Wales to charge tourists a small fee for overnight stays or longer. The money from the tax will be used to help fund local services, protect the environment, and support tourism growth.

The tax will apply to people staying overnight in accommodations like hotels, bed and breakfasts, holiday homes, campsites, and hostels. Moreover, each council in Wales can choose whether or not to use the tax. However, if they decide to go ahead with it, they must first consult with the public about what they think and give a year’s notice before implementation.

In terms of cost, right now, the planned fee is about one pound and thirty pence per adult, per night, for most types of stays. Specifically, there will be a lower fee of approximately 75p for campsites and hostels, and children under eighteen will not have to pay. The tax also will not apply to individuals staying longer than thirty-one nights, or to those staying in emergency or homeless housing. Finally, all places that offer overnight stays will need to register with the Welsh tax office, even if their local area does not use the tax.

According to Welsh authorities, the proposed tax could generate £33 million every year. The money will be spent locally in the areas where it is collected. It Local councils will have to publish annual reports explaining how they used the money.

Supporters say this is a fair way to support local towns and villages that welcome many visitors. According to First Minister Mark Drakeford, the tax will help make tourism “more sustainable,” with cleaner streets and more sanitation in public places. For communities. However, some business groups, including UKHospitality Cymru, have spoken against the plan. They stated that it could make trips to Wales more expensive and may hurt small businesses. There are also multiple people who have declared that this will hurt the economy , and it is detrimental to the Welsh tourist industry.

The first areas in Wales could start implementing the new tourist tax as early as 2027.