Metro mayors may be given power to levy a tourist tax on visitors

Andy Burnham has unveiled a plan to grant metro mayors the ability to introduce a tourist tax on overnight visitors, with a maximum rate of five percent. The initiative is presented despite a backdrop of rising energy costs and a recent 20% cut to business rates for pubs, clubs and live-music venues. Critics warn that the levy will further strain seaside economies that rely heavily on seasonal tourism, naming towns such as Southport, New Brighton, West Kirby, Tynemouth, Whitley Bay and South Shields as likely targets.

UKHospitality estimates the measure could impose at least £1.6 billion in additional costs on the industry. Proponents, including Liverpool City Region Mayor Steve Rotheram and Lord Khan, claim the funds will be directed toward revitalising high streets and upgrading local infrastructure. Opponents argue the policy reflects short-term fiscal thinking that could deter visitors and harm local businesses.