Visitor Levy Bill reaches Parliament, with mayors able to charge for overnight stays

The Government has introduced the Visitor Levy Bill, The Morning Advertiser reports. It would let mayors and local authorities in England charge a levy on overnight accommodation if they choose to.

How it would work: the levy is a percentage of the accommodation cost, not a flat fee, so cheaper stays pay less. It applies to the first 28 consecutive days of a stay. Money raised stays in the local area. Ministers say businesses must be consulted before any scheme starts, and that ten metro mayors have committed to a rate of no more than 5%.

What it can fund: parks, public toilets, destination marketing, cultural attractions and safety measures, according to the Government.

The objection: UKHospitality says the Bill sets no cap and does not require the money to go back into hospitality or tourism. It cites Oxford Economics modelling that a 5% levy could cost 33,000 jobs. That is the trade body's analysis, and the Government's case is that the rate is local and consulted on.

Where it stands: it is a Bill, so it still has to pass through Parliament.

What it means for operators: if you run rooms, work out what a 5% levy would mean for your rate card and booking terms. Then watch which local areas move first.