Tourist tax UK: Where do you have to pay the tourism charge at the moment in the UK - and which regions are planning to introduce it?

Tourist tax has been hitting the headlines in recent weeks as more European destinations bring in the charge to stop overflowing tourism. A popular holiday destination in Portugal, Lagoa, is the latest hotspot to introduce the fee that has to be paid all-year-round and applies to everyone over the age of 12.

Now, it is coming to light that Tenerife is considering introducing the tax, as well as popular UK holiday destinations Cornwall and Devon. The new Tenerife tax will reportedly come in on New Year’s Day 2025 and it is understood that the charge will be made for visits to natural spots and beauty sites. 

Meanwhile the Cornwall tourism chief has warned that he could “certainly envision” a tax on tourists and voiced his support for a “Cornish tax” to profit from the amount of tourists visiting the holiday hotspot. He added that it should be applied alongside neighbouring Devon to avoid forcing tourists away from Cornwall. He said: "There is no point in Devon not having one and us having one."

As tourist taxes are becoming more common across Europe, here we take a look at the current UK destinations that impose the levy - and which regions are considering introducing the fee. 

Where do you have to pay a tourist tax in the UK?

Manchester became the first city in the UK to launch a tourist tax last year. The City Visitor Charge, a £1 per room, per night fee, was introduced in April 2023 to pay for measures aimed at attracting more visitors.

The Manchester Accommodation BID, a body representing 74 hotels and serviced apartments providers in the city, was set up in 2023 to administer funds raised from the charge. It was formed as part of a push to keep occupancy rates high as more tourist hotels and apartments are built in Manchester. The tax is capped at 21 successive days.

Which UK regions are considering a tourist tax?

In Scotland, the Visitor Levy (Scotland) Bill was introduced to the Scottish Parliament in May 2023.  If passed, the legislation will give local councils the ability to add a tax to overnight accommodation if they wish to do so - with the rate set by individual councils. 

Councils could choose to apply the levy in all or part of their area - but will have to consult with local communities, businesses and tourist organisations before introducing a levy. Edinburgh and Glasgow in particular want to use the levy to support their local services and improve their capacity to manage the growing influx of tourists. Based on current timescales, the earliest a visitor levy could be applied in Scotland is 2026.

The Welsh government has also been moving ahead with plans to introduce a tourism tax. If passed, local authorities would launch consultations in the summer of 2025 to consider whether to introduce a fee in their area.

In 2026, the local authorities that do decide to go ahead with the fee will give notice to the public and it would then be rolled out from 2027 at the end of the notice period. Under the plans, people staying overnight in an area would have to pay a fee. The Welsh government argues it is "fair and reasonable" to ask visitors to pay a small fee towards the wider cost of tourism, with the intention of creating a "sense of shared responsibility between residents and visitors".

Most recently, the Cornwall tourism chief warned that he could “certainly envision” a tax on tourists in Cornwall and Devon. He told local outlet Cornwall Live: “It is a time to have the debate, not rush into action, engage with people and look at the art of the possible.”

Cornwall Council has launched a councillor-led inquiry aimed at improving the year-round benefits of tourism. Councillor Mike Thomas put forward the idea of a tourism tax in the council meeting in January. He argued that this option should be taken more seriously.