The United Kingdom | Evaluating the Implementation of a Night - Time Tourist Tax

The UK government is evaluating the implementation of a night – time tourist tax, enabling English cities, including London, Liverpool, and Manchester to introduce this fee that will be applied to those staying in hotels, tourist housing, bed & breakfast, and guest houses, as part of a strategy to finance urban improvements and strengthen the destination’s competitiveness following the moves of  Scotland and Wales, with the aim to fund local infrastructure, transport, and cultural projects, with potential revenue estimated in the hundreds of millions pounds annually.

Though the hospitality industry expresses concerns about adding to high holiday costs, mayors support the move to gain powers similar to other global cities, while debates continue on whether to use a percentage or flat fee and the potential impact on tourism, with Scotland’s 5% levy and Wales’ £1.30/night charge set to start in 2026 and 2027 respectively.

As confirmed by the British government, this new charge would bring the United Kingdom's centres in line with large cities such as New York, Paris or Milan, where levies on overnight stays are a common practice.

A study led by the Local Government Association suggests that the tax could be defined as a flat rate per night, a percentage of the cost of accommodation, or through a hybrid model.

The funds raised will go directly to community projects, such as public infrastructure, transportation improvements, maintenance of high traffic areas and urban beautification.

Secretary of State for Housing, Communities and Local Government, Steve Reed said that the country wants mayors to have the tools to continue to drive growth and reinvest in their communities.

London’s Mayor Sadiq Khan welcomed the move saying the tax will directly support the economy of the British capital, and help the city’s reputation as a global tourism and business destination, stressing that they will work together with the hotel and tourism sector to ensure that the new scheme benefits both businesses and visitors.

The Mayor of Greater Manchester, Andy Burnham, shared a similar stance, assuring that the collection will allow sustained growth over the next decade through essential services such as cleaner streets, more night transport and improvements that provide positive and memorable experiences to commuters.

The project is currently in the public consultation phase, a process that will run until February 18, 2026. If approved, the UK will join a growing list og destinations implementing responsible tourism management measures.

In other countries, Japan plans to increase its accommodation tax in Kyoto from March 2026, while in Italy, Venice applies both a night tax and a single - day visitor charge, in order to control excess tourists.

As more cities seek to balance tourism growth and sustainability, the United Kingdom’s move reflects a global trend towards responsible tourism management models, a variable that travellers need to consider in their future planning.

Link

https://infoturlatam.com/reino-unido-evalua-aplicar-impuesto-turistico-nocturno/