English mayors to gain power to set uncapped tourism levy, industry warns of £1.6 billion hit
The UK government is set to publish a framework that will allow England’s mayors to levy a charge on the price of overnight accommodation, calculated as a percentage of the booking cost and without a statutory ceiling. Ministers say the percentage model is intended to protect budget travellers, while industry groups such as UK Hospitality warn that the lack of a cap could impose a burden of up to £1.6 billion on the sector and threaten roughly 33,000 jobs.
Executives from Whitbread, Butlin’s and Hilton have described the proposal as potentially damaging to affordability and employment for young workers. Prime Minister Andy Burnham has reiterated his support for the measure as part of a broader devolution agenda, and officials expect the powers to come into effect by the end of the current parliamentary term.
Why it matters
A new tourist levy could raise the cost of holidays and jeopardise thousands of jobs in England’s hospitality industry.
How the sides frame it
MODERATE AGREEMENTLeft-leaning coverage stresses the industry's alarm over projected visitor loss and job cuts, while centrist coverage presents the tax as a tool for local funding and notes both supporter and critic viewpoints.
LEFT
Left-leaning coverage portrays the tourist tax as a threat to the hospitality sector, highlighting estimated losses in visits and jobs.
CENTER
Centrist coverage frames the tax as a decentralised funding measure for local services, presenting both supporter benefits and critic concerns.
The left emphasises
- a 5% tax could lead to 12 million fewer visits
- 33,000 job losses
- industry already battling higher taxes and employment costs
How this story developed
- Sep 10 Mayors to gain power to levy tourist taxes, industry warns of huge damage
- Sep 10 The government announced the framework granting mayors authority to set a percentage‑based tourist levy.
