The Visitor Levy Bill has received Royal Assent from His Majesty The King.
The new law gives Welsh councils the choice to introduce a small charge on overnight stays. All funds must be reinvested locally to support tourism.
Councils will decide how money raised can be used for tourism-related expenses – such as improving toilets, footpaths, beaches, visitor centres and activities. The Welsh Revenue Authority (WRA) will collect and manage the levy for councils.
The earliest possible date a levy could be introduced by councils opting to do so would be 2027.
The law also creates a national register for all visitor accommodation providers operating in Wales, which will be run by the WRA. The Welsh Government said this will provide better data about tourism to help councils, the Welsh Government and communities make informed decisions about how properties are used in their areas.
From Autumn 2026, anyone charging visitors to stay overnight in Wales must sign up.
Finance Secretary Mark Drakeford said:
“The visitor levy represents a small contribution that will make a big difference by helping to maintain and enhance the very attractions that make Wales such a wonderful place to visit and live.
“This historic legislation gives Wales the same tools used so successfully by destinations all over the world to balance the benefits and pressures of tourism between visitors and residents.”
Rebecca Godfrey, interim chief executive of the Welsh Revenue Authority said:
“We’re delighted to support local authorities with the collection of the levy and implement the new visitor accommodation register.
“Our proven track record managing Wales’ devolved taxes means we are well positioned to administer the register and levy efficiently. We’ll work with providers and the industry to help everyone prepare for autumn 2026.”
The new law sets the levy at 75p per person per night for hostels/campsites and £1.30 for other accommodation. It exempts under 18s in shared accommodation.
