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The new Premier Inn at Cribbs Causeway(Image: Paul Gillis\/Bristol Live)<\/p>\n“These new powers are a real vote of confidence in our region taking more control of our future”The new Premier Inn at Cribbs Causeway(Image: Paul Gillis\/Bristol Live)<\/p>\n
Visitors to Bristol and the West of England could have to start paying an extra \u2018tourist tax\u2019<\/a> after the Government announced in the Budget that it would launch a consultation on the idea over the winter. The exact amount visitors to hotels, B&Bs, guesthouses, Airbnbs and will have to pay for an overnight stay has not yet been set, but it could vary from the \u00a31.30 per person per night in Wales to the five per cent on the cost that is being introduced next year in parts of Scotland.<\/p>\n Hotels in the city centre typically charge anything from \u00a3100 to \u00a3300 a night now. A standard room at the Premier Inn at Finzels Reach in the heart of the city will cost \u00a3200 during this week, for example, rising to \u00a3215 at the weekend. A five per cent tax on that would cost a couple booking a room an extra \u00a320 if applied per person per night, or \u00a310 if applied per room. A seven per cent levy, which is being introduced by the local authority in Aberdeen, would add \u00a314 per room per night.<\/p>\n The \u2018visitor levy\u2019 was announced by Chancellor Rachel Reeves in her budget today, Wednesday, November 26. Some overnight ‘visitor stays’ would be exempt, including homeless hostels, emergency accommodation, and Gypsy and Traveller sites, and metro mayors would have the power to add other exemptions on a local basis. The power and decision to introduce such a tax will be devolved to an area\u2019s regional metro mayor<\/a>, and the West of England\u2019s metro mayor Helen Godwin welcomed the news.<\/p>\n \u201cResidents and visitors alike know how special our part of the world is, from our people to our culture to our nature,\u201d she said. \u201cTourism is now worth a record \u00a32.7 billion to the West\u2019s economy, which is a key industry for our new Growth Strategy over the coming decade.<\/p>\n \u201cThese new powers are a real vote of confidence in our region taking more control of our future. Proceeds from an overnight visitor levy, that people from across the West are used to paying on holiday ourselves, have the potential to support and enhance the sector\u2019s businesses and workers \u2013 including with better transport options,\u201d she added.<\/p>\n READ MORE: Plans to introduce ‘tourist tax’ across England – what that would mean for Bristol<\/a>READ MORE: Tax AirBnBs not us, say furious Bristol hoteliers<\/a><\/p>\n Ms Godwin\u2019s West of England Combined Authority, which she runs with the leaders of the local councils from Bristol, Kingswood<\/a> and Bath<\/a>, would be given the authority to set the level, how the levy is calculated and what that money would then be spent on.<\/p>\n It could bring millions to WECA\u2019s coffers and is the first time the metro mayor running the region has been given tax-raising powers themselves – until now their budgets have all come directly from Westminster.<\/p>\n Tourist taxes are common in many European cities popular with Brits who go on city breaks, like Paris, Barcelona, Lisbon, and Berlin – hotels usually either add the levy to a customer\u2019s bill when booking, or ask for it when they check in.<\/p>\n The devolved Governments in Scotland and Wales already have the power – with city councils in Glasgow, Aberdeen and Edinburgh already pledging to introduce the levy – which will be five per cent in Edinburgh – next summer.<\/p>\n Liverpool and Manchester already have a visitor levy of sorts, despite not having the power directly to do so. This levy has been introduced through a workaround using the Business Improvement District system – in Liverpool, around 100 hotels in the city centre charge guests a \u00a32 per night fee, while in Manchester it\u2019s \u00a31 a night, with the money going to the BIDs who, like Bristol city centre<\/a> \u2019s BID, pay for everything from events and Christmas decorations to enhanced street cleaning or security<\/p>\n Cllr Tony Dyer, the leader of Bristol City Council<\/a>, said the key aspect of the Chancellor\u2019s decision was that tax-raising powers were being entrusted to metro mayors. \u201cThis is about more than introducing a levy \u2013 it\u2019s about giving regions and local councils the power to make decisions that work for our communities.\u201d he said.<\/p>\n \u201cTourism and hospitality are at the heart of Bristol\u2019s economy, supporting thousands of jobs and local businesses. This levy should be a tool to strengthen that success, helping the sector grow sustainably while ensuring the benefits are felt across our communities.<\/p>\n READ MORE: Number of homes ‘lost to Airbnb’ in Bristol now above 2,000<\/a>READ MORE: Tourist tax edges closer but some claim it \u2018will drive people away’<\/a><\/p>\n \u201cWe will work closely with businesses to get this right and make sure any revenue raised is used in ways that bring real benefits locally for residents, visitors, and the sector itself,\u201d he added.<\/p>\n In South Gloucestershire<\/a>, there was also support. Cllr Maggie Tyrrell, the council leader, said: \u201cTourism is an important part of the region\u2019s economy, and this levy gives us a sustainable way to support it.<\/p>\n \u201cThrough reinvesting in transport and local services, we can ensure the benefits of tourism in the area are felt across all our communities,\u201d she added.<\/p>\n The news hasn\u2019t gone down well with the hotel and hospitality industry, which had been calling for a reduction in the 20 per cent VAT they already pay. Kate Nicholls, the chair of UKHospitality, said a five per cent levy on overnight stays could raise \u00a3518 million in additional taxes, which people staying in hotels would be the ones paying.<\/p>\n The Bristol Hoteliers Association strongly objected back in March, when Lib Dems<\/a> at City Hall proposed that Bristol should employ the same BID work-around already in use in Liverpool and Manchester.<\/p>\n![\"Chancellor](\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2025\/11\/1764225800_556_0_Budget-2025.jpg\")
Chancellor of the Exchequer Rachel Reeves poses outside 11 Downing Street, London, with her ministerial red box, before delivering her Budget in the House of Commons. Picture date: Wednesday November 26, 2025.(Image: James Manning\/PA )<\/p>\n![](\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2025\/06\/0_LC_270525bus_00JPG.jpg\")
Mayor of the West of England Helen Godwin<\/p>\n