Some UK destinations have already implemented a tourist tax and others are looking to in the near future — here is a full list of the destinations and what you need to know
Two cities in the UK have already introduced a tourist taxon visitors, but more could also be coming in the next couple of years.
Tourist levies are nothing new, with many destinations in Europe already having applied them, such as Barcelona and Venice.
The idea of a tourist tax is to raise money for the destination where it applies, in order to combat the potential negative consequences of overtourism. Here are the destinations in the UK either with a tourist tax already, or plans to introduce one.
Edinburgh, Scotland – introduced
Last month, Edinburgh Council decided to introduce a five per cent visitor levy on overnight stays – the biggest introduced in the UK to date.
The charge will apply to each person, per night for the first five nights of their stay. They are expected to being in £50 million per year for improved lighting, pedestrianisation schemes and other improvements in the city. However, tourism chiefs told The i Paper that they fear cash-strapped councils will use to tax to fill ‘black holes’ in their budgets, rather than improving amenities across Edinburgh.
The new charge comes after the SNP-led Scottish Government passed legislation which allows visitor levies to help councils capture and reinvest money, from growth in tourism.
Living Rent, a tenants’ union in Scotland, wants Edinburgh Council and other council bosses to ring-fence tourist tax revenue for much-needed affordable housing. Chair Aditi Jehangir stated that the money must be spent on “improving the lives of the people who live and work in our cities” and that “this has to mean using money raised for council and social housing”.
Edinburgh Council has since pledged £5 million of the £50 million earned each year will go to housing and “tourism mitigation”.
Glasgow, Scotland – proposed
At the beginning of February, a consultation for a tourist tax of five per cent for Glasgow was launched. If approved, the levy would apply to overnight accommodation. For the next 12 weeks the city will be seeking input from residents on how the funds should be used to support and grow the tourism sector in the city. The consultation is open to all residents, and can be participated in online.
The current proposal suggests that 3.5 per cent of the levy would be kept by the city, whilst the remaining 1.5 per cent would go back to operators to cover any administrative costs.
Aberdeen, Falkirk, Highland, Stirling and Argyll and Bute are also all looking at the possibility of introducing a tourist tax.
Liverpool, England – proposed
Liverpool might introduce a levy of £2 a night for those who stay in the city.
Hotels and serviced accommodation providers, who are members of Liverpool’s Accommodation Business Improvement District (ABID), are being urged to implement a new City Visitor Charge to help support the city’s growth and development. The charge could be implemented as soon as June 2025, and is expected to generate around £6 million.
London, England – proposed
The Mayor of London, Sadiq Khan, recently stated that he was “happy to look into” the possibility of a tourist tax in the capital. Whilst nothing formal has been proposed yet, Sadiq Khan commented that he would keep an eye on the evidence from Manchester’s tourist tax, as well as other European cities.
Mr Khan stated: “I’m happy to look into where it’s worked, what the issues are in relation to that particular policy… we’ll be looking at what cities are doing not just across Europe, but in the UK as well,” according to the BBC.
Bristol, England – proposed
In Bristol, the Liberal Democrat group has suggested a visitor levy despite not being in power. The group has proposed that there should be a £2-per-night accommodation charge, and that this would be an “innovative revenue stream”.
The Liberal Democrat’s proposal is one of their amendments to the city council’s annual budget, which is due to be discussed on February 25, according to Bristol24/7.
Manchester, England – introduced
Manchester has already introduced a £1-a-night scheme for visitors, which raised £2.8 million in its first year. Manchester launched it’s tourist tax in April 2023, and became the first city in the UK to do so. Funds raised by the tax have so far been spent on street cleaning and marketing campaigns.
The Manchester Accommodation BID, a body that represents 74 hotels and serviced apartment providers in the city, was set up in 2023 to administer funds raised from the charge. It was created as part of an ambition to keep visitor occupancy rates high, as more hotels and tourist apartments were built in the city, amid fears that visitor numbers were not keeping up with the rate of development.