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Mayors rally over $220 million annual tourism funding gap

A coalition of more than 100 local leaders, led by Auckland Mayor Wayne Brown, is urging the Government to allocate $220 million each year to help councils cover tourism costs.

Wayne Brown, mayor of Auckland, has gathered over 100 mayors and council executives to press the Government for a $220 million annual contribution to local tourism budgets. Their full-page advertisement in the Weekend one outlet claims that central authorities receive around $10.5 billion in tourism-related revenue, yet local councils fund the majority of visitor-related infrastructure and services. The proposed Local Tourism Funding Gap would allocate roughly 5% of GST collected on tourism spend back to councils, with the amount scaling as the sector expands.

The campaign also backs a New Zealand Tourism Funding Charter that calls for a coordinated national approach to financing infrastructure, events, and destination marketing. Signatories include mayors from Wellington, Christchurch, Hamilton, Queenstown Lakes, and Rotorua, as well as tourism industry leaders. Brown has previously advocated a bed-night levy on short-term accommodation, which could raise about $27 million annually if legislation changed.

Why it matters

It highlights a growing tension between national tax revenue from tourism and the costs borne by local communities.

In this story

tourism fundingGSTtourism revenuebudget gapmayors coalitiontourism levy
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