The Welsh Government is proposing the charge as part of the Visitor Accommodation (Register and Levy) Etc. (Wales) Bill, which is currently under consideration in the Senedd.

The levy would apply to overnight stays, with the funds raised reinvested in supporting tourism infrastructure and services in the areas where visitors stay.

Mark Drakeford, finance secretary, said: “The visitor levy is a small contribution that could make a big difference if councils choose to introduce it in their local areas.

“We think it is fair visitors contribute towards local facilities, helping to fund infrastructure and services integral to their experience.

“Visitor levies are common around the world, benefiting local communities, tourists, and businesses – and we want the same for Wales.”

If passed, the levy would see adults paying 75p per night when staying in hostels and campsites, and £1.30 per night in all other types of accommodation.

Under-18s would be exempt from the charge when staying in hostels or campsites.

The Welsh Government is also investing more than £70 million this year to support the tourism sector.

This includes more than £15 million for Visit Wales, a £50 million Wales Tourism Investment Fund, and a further £5 million to help businesses improve visitor experiences.

An additional £1 million has also been allocated for weather-proofing grants.

The Bill has today, July 1 hit its third stage in the Senedd.

If approved, it will give councils the power to introduce the levy in their areas, with all revenue ring-fenced for tourism-related improvements.