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CROSS-SPECTRUM

National Party to channel visitor levy funds to councils, rejecting proposed bed tax

The National Party plans to allocate nearly $400 million from the international visitor levy to local councils over four years, while maintaining its opposition to a bed tax.

The National Party announced a policy to direct almost $400 million of revenue from the $100-per-person international visitor levy to local councils over a four-year period, rejecting a separate bed tax proposal. Funding will start at $86 million in the 2027/28 fiscal year and rise to $106 million by 2030/31, allocated according to the number of international guest nights each region records. The balance of the levy will provide $100 million each year for conservation initiatives and establish a $50 million Tourism Priorities Fund to spur tourism growth.

Nicola Willis, the party’s finance spokeswoman, committed to keeping the levy unchanged for three years, and the party will absorb the $105 million operating cost through the upcoming budget. Using data up to June 2026, Auckland Council is expected to receive about $19 million, while Queenstown-Lakes District Council would get roughly $17 million. The move follows the government’s decision not to pursue a bed tax, a measure previously supported by some mayors, including Auckland’s Wayne Brown.

How the sides frame it

MODERATE AGREEMENT

Centrist coverage frames the proposal as a simple alternative to a bed tax, while right-leaning coverage stresses the rejection of the bed tax and details the large, multi-year funding amounts.

CENTER

Centrist coverage presents the plan as an alternative to a bed tax that would reallocate the visitor levy to councils and specific programs.

RIGHT

Right-leaning coverage highlights the rejection of the bed tax and outlines the substantial, phased funding to councils and conservation.

The right emphasises

  • rejecting the proposed bed tax
  • directing almost $400 million to councils over four years
  • specific funding amounts and timeline, and keeping the levy unchanged

Possibly left out

  • RNZ reports the policy without detailed funding figures, absent from one outlet
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