Mayors in England are set to receive powers to introduce an overnight visitor levy on tourists, under new government plans. This type of fee, often seen in European cities, is typically collected by accommodation providers and reinvested into local resources.
Edinburgh became the first city in the UK to implement a city-wide visitor levy in July, applying a five per cent charge to overnight stays, with a cap of five consecutive nights. Other Scottish cities, including Glasgow and Aberdeen, are expected to follow, with Glasgow planning a five per cent levy from January 25, 2027, and Aberdeen a seven per cent levy from April 1, 2027.
The Visitor Levy (Scotland) Act, which became law in September 2024, enables Scottish councils to tax overnight accommodation, provided they consult local businesses, communities, and tourism organisations. The City of Edinburgh Council projects its levy could generate up to £50 million annually.
In England, the Overnight Visitor Levy Bill was included in the King���s Speech on May 13, 2026, aiming to devolve new revenue-raising powers to local leaders. Some English cities, such as Manchester and Liverpool, have already introduced a form of tourist tax through Accommodation Business Improvement Districts (ABIDs).