Labour has announced a new tax!

[EvangelicalAboutButteredToast]

I know, I know, we’re all shocked.

In the King’s speech today. A new tourist tax that would be applied to overnight accommodation. It’s called the Overnight Visitor Levy Bill and could add around 5% onto hotel, B&B, guesthouse costs. They are pushing it through as we speak, I guess in time for summer.

Get a better job then?

But what has that got to do with staying overnight elsewhere in the country? And why does it apparently not matter as long as you have a long day trip but then go home late in the evening?

Most of us do already pay for public services - both at a local and a national level; I don't see why it all arbitrarily hinges on needing the people who visit one particular city to subsidise it, as well as paying all of their standard dues from their home address.

….

They don’t tax food (other than sugar/snack tax and hot food). They tax employers. They tax fuel. They make it more expensive for the suppliers and supermarkets to operate, which in turn increases the cost of food. That pushes inflation up which keeps interest rates high and increases mortgage costs. It all hits regular people’s pockets.

People who say “there are no new taxes” also say “bloody hell everything’s become expensive” and don’t seem to understand the cause and effect. It’s not just tax policy, there are obviously global forces at play but Labour are shifting so much of the burden to working people it’s no wonder people voted in the way they did last week.

Where I live there have been no improvements in public services. I don’t recognise any of the Labour “successes” being touted on this thread. I would never vote Reform, but this government have been terrible and I hope they wake up to reality soon. I fear they are now going to tie themselves in knots trying to elect a new leader.

That makes no sense, though: to say that, if you can afford the price of something, you can automatically afford to pay an extra 5% on top of that, and then maybe another 5%, then another...

Your budget is your budget, so every price increase will then necessarily price out another level of people who can no longer afford it or are no longer willing to pay it.

This is exactly the reasoning used when discussing taxing wealthy people more. If you push for 'just another 5%' and that tips the balance, meaning that people leave the country, make other arrangements or change their behaviours, you don't just not rake in the desired increase but you also lose what you already got in before.

A lot of places that are popular with tourists and other visitors seem to complain frequently about all the extra costs and disadvantages that the incomers bring; but if people stopped visiting completely, I'm guessing that we'd be hearing more complaints about how the local economy suffers and struggles without the tourist money.

Sounds like a reasonable idea. I’m happy to pay it.

Its not councils. Its regional mayor's and they've not decided yet

Considering that most of the country is struggling with the basic cost of living and ever-rising prices for essentials - let alone holidays - what happens when all of them 'get a better job' and there's nobody left to do all of the NMW jobs? Are there even enough 'better jobs' out there for everybody?

What a privileged and tone-deaf comment.

No one or no party can make tangible differences inside 2 years.

More skilled staff take 2 to 4 years to train, they inherited huge financial commitments... that unfunded NI cut, costs the Govt £11billion each year, now there is extra defence commitments.

People have totally unrealistic expectations but the higher growth we are getting means more tax take, we are 3rd behind US & Japan on highest growth in G7 since July 2024.

The % or flat rate hasn't been decided yet

Its going to be spent on visitor economy. To boost tourism

Would you believe I’m being made redundant from one of those safe ones, find out next week, because Labour has cut the budget this year and less money is coming in. I know. It’s a shocker! Less tax fir the coffers I guess.

5% was the specific amount that was scoffed at as virtually nothing by the poster to whom I responded.

Even when the rate has been decided, though, it will be a foot in the door; who knows how high it might eventually end up?

Levy like that was already in some places locally in uk. They seem to be just bringing it in on national level. I am assuming the levy will be swapped for that.

Edit many to some because I realised it's mainly where I travel🙈

This has been on the cards for some time, and when discussed in local forums in Brighton, has been a very popular idea due to the mess and chaos visitors leave behind, which have to be dealt with by council tax.

I'm surprised it wasn't introduced earlier. It irritates me when it's very high in Europe, but I completely understand the rationale.

Higher welfare means more tax that's what Labour is about. I don't necessarily think they are taxing the right people but I accept the principle. Other countries have tourist tax.

I’ve never heard anyone say that they were put off going to Amsterdam because of their 12.5% tourist tax.

Venice have even introduced a €5 charge for day trippers during peak season.

It’s nice you’re so relaxed. More deep breaths from me are required I think.

Its being done with consultation
Doesn't work like that

Venice actively wants to reduce tourism
This isn't the same

Its not national
Its in areas where there is a regional mayor and they'll decide

But would it put you off going if you had to pay a small charge, the equivalent of a coffee in a tourist area?

Not sure if you travel, but majority of countries I’ve travelled to in the last few years all have tourist tax added to the hotel bill that is charge separately, many in Europe and beyond. It’s a good thing

That's up to them
What i am saying is this is different
To boost visitor economy, jobs etc
Tourism has an impact on any area
This is about capturing that impact and using funds to drive growth in a focused manner

It's an optional tax, lots of areas might choose not to do it.

It's saying £2-3 a night, not sure where you got 5%.