Tourist tax for overnight Oxford visitors welcomed by leader

Tourist taxes on overnight stays could soon be introduced across England under new government plans.

The proposal, announced on Thursday, September 10, would hand mayors greater powers to impose the levy.

It would be charged as a percentage of the cost of a stay rather than as a flat fee.

The government said the approach would help protect budget holidays, with local leaders deciding both the level of the charge and how the money raised is spent.

While there would be no national upper limit on the levy, government sources suggested most mayors would only introduce charges of a few per cent.

Oxford City Council leader Susan Brown said she strongly supported the plans and argued that tourism placed additional demands on local services.

Susan Brown, leader of Oxford City Council (Image: Isabella Harris/NQ)

She said: "Oxford has over half a million overseas visitors every year and even more people coming as tourists from within the UK to visit.

"Tourism is a very important part of our economy. One in every £6 spent in the city centre by debit or credit card comes from visitors to our city and it supports a very large number of jobs in Oxford."

Ms Brown said the volume of visitors created extra costs for the city, including providing public toilets, street cleaning and litter collection.

She added: "That is why we have campaigned for the ability to raise a tourist tax so that tourism can help pay for the additional burden placed on local taxpayers and also so that we can make improvements to our city for local residents and visitors."

The plans form part of the government's wider devolution agenda, which aims to shift decision-making powers away from Whitehall.

Angela Rayner (Image: PA)

Deputyprime minister and local government secretary Angela Rayner said the measure would give mayors the option to reinvest money raised from tourism into local communities.

She said: "Our amazing towns and cities and our picturesque rural and coastal communities welcome millions of visitors every year. Local leaders should have the power to make the most of that popularity.

"This measure will give mayors the choice to raise and reinvest funding where it's needed most."

Ms Brown said the proposed tourist levy made it "even more important" to secure a mayoral authority "as soon as possible to take advantage of this opportunity".

However, hospitality businesses warned the proposals could damage the tourism sector.

Trade body UKHospitality claimed the tax could cost the industry £1.6 billion and put thousands of jobs at risk.

But ministers said similar schemes already operate in parts of Europe, the US and Canada, helping to fund local services and attractions used by both residents and visitors.