The Welsh government has stood firm on its decision to include children in the proposed tourism tax, which could see visitors paying £1.25 per night at hotels, B&Bs and self-catering accommodation from 2027.
Finance Secretary Mark Drakeford defended the universal charge, stating it was “less than the cost of a cup of coffee” and explained that excluding children would lead to a “significant fall” in revenue.
“I’ve said to you from the very beginning that this is a broad-based tax with a low charge, at the low end of what you’ll find anywhere else,” Drakeford told the Senedd’s finance committee. “If you narrow the base, the only way you can sustain the take from the tax is to put the charge up.”
The proposed legislation would allow individual councils to implement the tax, potentially generating £33m annually across Wales. A reduced rate of 75p per night would apply to hostels and campsites. 🏕️
The Welsh Conservatives have criticised the move, stating ministers should be nurturing the tourism sector “not hammering it with new taxes”.
The bill includes exemptions for stays longer than 31 nights, those in temporary accommodation, and people in homeless hostels.
