Team Cardiff Life
July 9, 2025
Cardiff Latest

What the New Tourism Tax Means for Cardiff and Beyond

Big news for anyone who loves visiting (or hosting visitors in) Wales. The Senedd has just approved a new law allowing councils to levy a tourism tax on overnight stays. This means if you’re staying in a hotel in Cardiff (or anywhere else in Wales that adopts the tax), you could see an extra £1.30 per night added to your bill. Stays in hostels and campsites would be around 75p per person per night, with children under 18 exempt in those categories.

The idea behind this “visitor levy,” as officials are calling it, is to generate up to £33 million a year across Wales to help fund and improve our fantastic tourist destinations and the infrastructure that supports them. Think better public toilets, well-maintained footpaths, clean beaches, and updated visitor centres.

What does this mean for Cardiff? Our own Labour leader, Huw Thomas, is keen to introduce the policy here in the capital. He estimates it could bring in a tidy £3.5m-£4m annually, which could then be used to help offset the costs of hosting big events, like those recent Oasis shows that brought so many people to our city!

Not all councils are on board, with some like Vale of Glamorgan, Rhondda Cynon Taf, Newport, and Wrexham ruling it out. However, Cardiff, Anglesey, and Gwynedd have all shown interest.

The Debate:

It’s not without its critics, though. Some businesses are worried it might put visitors off, especially given that many already feel they contribute significantly to the local economy. The Welsh Conservatives have even vowed to scrap the tax if they win the 2026 Senedd election, arguing it could impact jobs and the economy.

However, supporters, like Cardiff Central MS Jenny Rathbone, point out that visitors create additional demands on local services, like litter collection, and it’s only fair for them to contribute. Many also see it as a way to create a more sustainable tourism sector that benefits both communities and businesses.

When could this happen? The earliest the tax could be introduced is 2027, and it will be up to individual councils to decide whether to implement it.

So, while the specifics are still being ironed out by local councils, it seems like a new era for how tourism is funded in Wales is on the horizon. What are your thoughts, Cardiff?

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