The big problem with the tourism levy is mission creep - Jayne Dowle
The mayor of Hull and East Yorkshire says levying a tourist tax simply isn’t right for his region. Luke Campbell is worried that having to pay to stay in the city and along the East Coast will put people off coming, just when hospitality and tourism needs all the help it can get.
Under tourist tax proposals, accommodation providers would be responsible for paying the levy and would decide whether to pass the cost on to guests.
Campbell, a former Olympic gold medallist boxer, stood as Reform UK’s candidate in the May mayoral elections, winning with a majority of 10,981 votes ahead of Liberal Democrat runner-up, Mike Ross.
You may remember that Campbell made much capital out of the fact he has local roots – being born and bred in Hull – and a lack of previous political experience. He’s certainly outspoken.


Not everyone will agree with him on everything, but when it comes to tourist tax, the 38-year-old is saying what many others think. “My instinct is that a mandatory levy probably isn’t right for this region. I’m concerned that adding extra costs for visitors could damage businesses that are already struggling.
“I fully support efforts to drive local growth, but I don’t think putting another charge on people coming here is the best way to boost the economy.”
Tourist tax, confirmed by Rachel Reeves in the Autumn Budget, is something of a vague premise, given that no-one in government has quite outlined how charging tourists and visitors anything from a few pounds per person per night will actually contribute to supporting local communities.
It is likely to be levied as a flat nightly fee or a percentage of the overall cost of the stay.
A consultation with businesses and other stakeholders is underway until February 2026 to establish charges and how the system will be organised.
Meanwhile the legislation that will grant local government these powers, the English Devolution and Community Empowerment Bill, progresses through parliament.
What is known is that any local authority in England will be able to levy a tourist tax to generate funds for local investment in transport, infrastructure and the tourism economy.
The tax will be payable by tourists and visitors staying overnight in paid accommodation, including hotels, B&Bs and holiday lets. Scotland and Wales are devising their own similar plans.
It's already known that Mayors in London, Liverpool, Greater Manchester, the West of England, West Yorkshire, York and North Yorkshire and North East England will deploy these new tourist tax powers; it does have its critics.
The big problem, it seems with tourist tax, is mission creep.
Venice, one of the first cities to charge tourist tax, started the levy, currently between €1 and €5 per person a night, depending on level of accommodation, for the first five nights of a stay, since 2011.
Since the summer of 2025, tax has been extended to day-trippers over the age of 14, who must pay an “Access Fee” of €5 on specific high-demand dates from April to July. If booked less than four days in advance, the fee increases to €10.
Paris, which introduced its first such charge in 1910, has now embraced tourist tax with Gallic gusto; it’s now €5.53 per person per night to stay in a three-star hotel or furnished rental, almost double that, €8.45 if it’s a four-star establishment. So that’s more than €20 or €30 per night for a family of four taking offspring over the age of 18 (under-18s are exempt).
It's also not really about tourism, argues Alistair Handyside, executive chairman of the Professional Association of Self-Caterers (PASC), who was in Westminster lobbying MPs last week.
Representing the industry, Handyside argues that the tax is illogical because the people paying up will in many cases not be tourists. “When you go and stay up in Norfolk because you want to visit your ailing relative you’ll pay for it,” he told reporters. “Plus, if you go on a business trip to Edinburgh to watch a conference, you’ll pay for it too. It’s not a tourist tax, it’s a business tax, it’s a bed tax.”
For small hoteliers and owners of family holiday let businesses who have poured their own money into their investments, there is not much immediate benefit.
Whilst they must keep spending to ensure their holiday properties are of good standard and meet ever-more onerous legislation, they will personally see nothing from the proceeds of tourist tax.
