Children won't be exempt from Welsh tourism tax

Mark Palmer
Assistant editor, BBC Wales News
Getty Images About 80 small boats moored in green-blue water in the harbour in Tenby, viewed from above in bright sunshine. There are rows of multi-coloured houses behind the harbour - green, blue, yellow, turquoise, orange and pink - and a view out to sea at the top of the frame.Getty Images
Visitors to places like Tenby in Pembrokeshire may have to pay a tourism tax

The Welsh government has rejected calls to exclude under-18s from plans for a £1.25 per night tourism tax.

Under the proposal, guests would pay the fee at hotels, B&Bs and self-catering accommodation. At hostels and campsites it would be 75p.

Councils would decide whether to introduce the fee if a new law is passed by the Senedd with charges possibly starting in 2027.

Finance Secretary Mark Drakeford said exempting children from the visitor levy would see a "significant fall" in revenue.

Drakeford was giving evidence to the Senedd's finance committee on the Visitor Accommodation Bill.

Questioned by chairman Peredur Owen Griffith, he told the committee the charge was "less than the cost of a cup of coffee".

He said: "I see that you have heard from a range of voices who argue that particular groups ought to be excluded from the levy.

"I've said to you from the very beginning that this is a broad-based tax with a low charge, at the low end of what you'll find anywhere else.

"If you narrow the base, the only way you can sustain the take from the tax is to put the charge up."

The Welsh government said money raised would help fund services in tourism hotspots, but critics believe it will deter visitors.

The Welsh Conservatives said ministers should be nurturing the tourism sector "not hammering it with new taxes".

The plans require legislation to be passed by the Welsh Parliament.

If that happens, officials think April 2027 is the earliest date the tax could be levied.

Getty Images Conwy castle on a sunny day with boats on the beach in frontGetty Images
Calls to exclude under-18s from plans for a £1.25 per night fee have been rejected

Councils could charge more in future if they go through a consultation process and give 12 months' notice.

Not all councils are expected to introduce the charge, but if they did it would raise about £33m a year.

Stays of more than 31 nights will not be taxed. Neither will people forced into temporary accommodation or people in homeless hostels have to pay.

Officials have previously said they wanted the tax to be simple to understand, so the same rate will be paid for adults and children.

Some tourism operators have criticised the plans saying they could deter people from visiting Wales.

Other groups, including the scouts, are concerned about the impact it could have on children holidaying in Wales.