HOLIDAYERS could be hit with a new tourist tax when they stay at UK campsites, hotels and B&Bs.
The move is reportedly being considered by the government as it could raise an estimated £1bn, as the UK’s economic growth is flat.
2
Chancellor Rachel Reeves hopes the tax will ease pressure on government spendingCredit: Getty – Pool
2
Staying could get more expensive with new taxCredit: Getty IMages
The new scheme would start from £1 per person in a campsite and escalate to £15 per person in a five-star hotel.
Both UK residents and tourists from abroad will have to pay the new tax, making it slightly more expensive to stay.
The government, however, hopes that the tax will raise a significant amount of money for public spending.
According to the TaxPayer’s Alliance, the move has the potential to raise around £1bn a year.
However, there is one city in the UK that already has a tourist tax.
Visitors to Manchester must pay City Visitor Charge (CVC), which requires visitors to pay £1 per room per night.
According to spokesperson Kumar Mishra, the money raised by the CVC was used to clean the streets of Manchester and advertise the city.
Other cities, including Edinburgh, are reportedly considering their own tourist taxes.
Speaking in China on January 11, 2025, Ms Reeves did not comment on the tax rumours, but said “growth is the number one mission” of the Labor government.
The chancellor added that her budget was “non-negotiable” and that it was part of her wider plan to achieve “economic stability” and “growth”.
From Cumbria to Wiltshire, the best spas for the festive season
The tax is hoped to support government spending, as the economy shows signs of stagnation.
Asked about the rumored tax, the Treasury said: “We do not comment on tax speculation outside of fiscal events.”
Categories: Optical Illusion
Source: HIS Education