Tourist tax warnings underscore the need for industry unity at the Land, Leisure & Tourism Show 2025
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The UK tourism industry faces a pivotal moment. Reports from the 2025 Labour Conference suggest the government is considering a nationwide tourist tax – a levy that could see both domestic and international visitors charged £1 to £15 per night across all types of accommodation, from campsites to luxury hotels.
While the measure could raise up to £1 billion annually, industry leaders warn it could threaten recovery and competitiveness at a time when businesses are still rebuilding after the pandemic.
Why the tourist tax matters
The UK is already among Europe’s more expensive destinations. Adding another charge could deter price-sensitive travellers and push them toward cheaper alternatives. Hotelier Sir Rocco Forte has called the proposed levy “a pernicious new tax” that risks discouraging visitors even further.
Tourism recovery remains fragile: in 2019, the UK welcomed 41 million overseas visitors, but by 2023 that number had only climbed back to 38 million. Domestic tourism could also take a hit, with families facing higher staycation costs just as household budgets remain tight.
Lessons from Manchester, Wales, and beyond
Tourist taxes aren’t new, but their success depends on context.
- Manchester already applies a £1-per-room City Visitor Charge to fund maintenance and marketing.
- Wales is introducing a £1.25-per-person-per-night levy, while Edinburgh has proposed a 5% charge.
- Across Europe, destinations like Paris and Venice use similar taxes to support tourism management.
However, the UK’s leisure and hospitality sector is already grappling with rising costs, staffing shortages, and shifting visitor expectations. The question isn’t whether tourist taxes work – it’s whether now is the right time.
The risk to operators
For holiday parks, attractions, and leisure sites, a new levy could pose several challenges:
- Perceived Value: Families may view the charge as the tipping point between a UK break and an overseas alternative.
- Revenue Pressure: Independent and rural operators could lose visitors, tightening already slim margins.
- Operational Strain: With energy and labour costs still high, a new tax could feel like one burden too many.
Smaller operators are particularly vulnerable, lacking the resources of larger hotel chains to absorb or offset potential losses.
A call for industry collaboration
In this uncertain environment, collaboration is essential. The sector must unite to make its voice heard and develop strategies that protect its future.
That’s where the Land Leisure & Tourism Show 2025 comes in.
Taking place this November, it’s the UK’s leading event for rural businesses, holiday parks, and leisure attractions – bringing together operators, suppliers, and policymakers to share insights and shape the industry’s future.
This year’s show will explore key issues including:
- Policy & Regulation: Hear directly from leaders on the tourist tax debate and its implications.
- Diversification & Innovation: Discover new revenue opportunities, from wellness offerings to event hosting.
- Sustainability & Resilience: Learn how to stay competitive while embracing greener operations.
- Networking: Build partnerships that strengthen the industry’s collective voice.
Be Part of the Conversation
The tourism sector has overcome many challenges through unity, creativity, and resilience. The tourist tax debate is the latest reminder that collaboration is key to long-term success.
Join us at the Land Leisure & Tourism Show 2025 and be part of the conversation shaping the future of UK tourism.
Don’t just watch change happen – help lead it.
