After Scotland and Wales, England is in turn preparing to introduce - or at least allow the establishment - of a tax on tourist stays. The British government announced on September 10 that it would give mayors and local authorities the power to create an “Overnight Visitor Levy”, a contribution levied on overnight stays.
The objective stated by London: to allow the territories to derive more revenue from their tourist numbers to finance local investments. Across the UK, VisitBritain estimates there will be 43.6 million international visits in 2025.
A tax left to local choice
This will not be a national measure imposed on all travelers. As part of the decentralization undertaken in England, mayors and leaders of local strategic authorities will be able to decide to establish it in their territory, after consulting residents and businesses. It is up to everyone to assess its relevance according to their tourist numbers and their needs.
No national rate has been set at this stage. The ten Labor regional mayors, however, indicated, in the government press release, that they were ready to cap the contribution at 5% of the price of accommodation. This commitment does not constitute the final rate provided for by the future law. In London, Mayor Sadiq Khan assured BBC London that the levy would not exceed 5%, without specifying the exact level. The system would concern both British visitors and foreign tourists.
An amount proportional to the stay
The tax should be calculated as a percentage of the property price, not as a fixed amount per person per night. The authorities thus intend to limit its weight for travelers who choose the cheapest establishments. At the same rate, a night in a budget hotel would result in a lower contribution than a getaway to a high-end establishment.
The system should cover hotels, guesthouses, hostels, campsites and short-term rentals, as well as certain university or religious accommodation rented for commercial purposes. Local exemptions could nevertheless be provided for tent or tourist caravan sites and youth hostels.
The sums collected can finance transport, infrastructure, urban renewal and even cultural facilities. They will also be able to support projects intended to strengthen tourist attractiveness. The government thus wishes to involve visitors in the services and facilities they benefit from during their stay.
A calendar still to be specified
The contribution is not yet applicable: its establishment requires the adoption of a law. Announced in the 2026-2027 legislative program, the project on the “Overnight Visitor Levy” has not yet been presented to Parliament at the beginning of October. But, once the legal framework has been adopted, communities wishing to implement the tax will have to organize a local consultation. The government plans that mayors will be able to begin defining their spending projects by March 2028, without this deadline constituting a date of entry into force of the levy.
For French travelers, a night in England could therefore be accompanied by an additional line on the bill. Its existence and amount will, however, depend on the destination: London, Manchester and other territories will not necessarily be subject to the same rules. This possible additional cost is added to that of the ETA, the electronic travel authorization, compulsory since April 2025 and the price of which has already doubled, from 10 to 20 pounds sterling (around 23 euros). Valid for up to two years for several trips, this authorization already represented an additional expense. Enough to increase the budget for holidays across the Channel.
