A proposed percentage charge on overnight accommodation could fund transport, public spaces and tourism infrastructure across Bristol, Bath and surrounding areas, subject to further local consultation.
West of England Mayor Helen Godwin and regional council leaders are considering how new devolved visitor-levy powers could support tourism, transport and local services. — Credit: Freia Turland
- The UK government plans to give mayors powers to introduce locally set overnight visitor levies charged as a percentage of accommodation costs.
- No West of England levy has yet been finalised, and regional leaders say businesses and residents will be consulted before any scheme is introduced.
- Supporters say proceeds could help fund transport, public spaces, attractions and other visitor-economy infrastructure across the region.
- Hospitality-sector critics warn that adding to accommodation costs could affect the competitiveness of domestic tourism.
(NEWS) BRISTOL, United Kingdom, 2026-Sep-10 — /Travel PR News/ — A proposed overnight visitor levy for the West of England has moved closer to becoming a practical option for local leaders, with the UK government confirming that mayors in England will be given powers to introduce a locally set charge on overnight accommodation.
The change could eventually add a percentage-based levy to hotel, serviced apartment and short-term rental stays across destinations including Bristol, Bath and parts of North Somerset and South Gloucestershire. No West of England levy has yet been finalised, and regional leaders say businesses and residents will be consulted before any local scheme is introduced.
According to an update published by Visit West on September 10, the government’s preferred structure is for the charge to be calculated as a percentage of accommodation costs rather than as a flat nightly fee. The intention is to make the levy proportionate to the price of the stay while allowing mayors to decide whether to introduce it and how revenues should be reinvested.
Transport and visitor infrastructure in focus
Helen Godwin, Mayor of the West of England, has argued that proceeds from a levy could help fund projects used by residents and visitors alike. Among the areas she has highlighted are late-night bus services, public spaces in central Bath and Bristol, tourism-supporting sectors and attractions across the wider region.
Godwin said the region should examine the opportunity carefully and use “common-sense exemptions” where necessary. Her position builds on an open letter to tourism businesses published in December 2025, in which she stressed that a levy would require consultation with businesses and lessons from destinations that already operate similar schemes.
The West of England’s case is tied closely to the size of its visitor economy. Visit West says visitor spending across the region reached £2.7 billion annually and supported more than 43,000 jobs, while tourism-related business turnover reached £3.43 billion in 2024. Food and drink accounted for 30% of visitor spending and retail for 33%, according to the destination organisation.
Regional council leaders have broadly backed the principle of gaining the power to raise local tourism revenue. Leaders from Bath & North East Somerset, Bristol and South Gloucestershire said they want any eventual levy to support the visitor economy as well as local communities. In North Somerset, council leader Mike Bell struck a more cautious note, warning that Britain’s 20% VAT rate already places tourism businesses at a price disadvantage compared with many European destinations. He nevertheless said a levy could merit consideration if revenue generated in North Somerset is reinvested there.
National rules still taking shape
The policy follows a national government consultation on an overnight visitor levy in England, which examined who should have the power to create a levy, what accommodation should fall within its scope, how rates should be calculated, potential exemptions and how proceeds should be used.
The consultation originally proposed giving Mayoral Strategic Authorities the power to introduce local levies. The government has since signalled that the measure will form part of a wider fiscal-devolution agenda, with new legislation intended to establish the framework. The West of England has meanwhile been confirmed as an Established Mayoral Strategic Authority, strengthening its position within the government’s devolution system.
Housing, Communities and Local Government Secretary Angela Rayner said the policy is intended to let local leaders raise and reinvest money in services, public spaces and attractions in the areas that receive visitors.
For travellers, the practical effect will depend on decisions that have not yet been made locally, including the levy rate, exemptions and geographic scope. Visit West says people and businesses across the region will be able to contribute to the next stage of the process before plans are finalised.
Hospitality industry raises competitiveness concerns
The prospect of additional charges on overnight stays has also drawn opposition from parts of the hospitality industry. Reuters reported that UKHospitality has warned an overnight levy could add costs for travellers and businesses and potentially weaken the competitiveness of domestic tourism.
The debate leaves local authorities balancing two competing pressures: the cost of supporting heavily visited destinations and the risk that higher accommodation prices could deter some demand. In the West of England, that trade-off is likely to become central to the promised regional consultation as officials determine whether a levy should proceed and, if so, how the revenue would be distributed.
For now, the September announcement changes the region’s options rather than its hotel bills. The next significant step will be the design of a local proposal and the consultation process that must precede any decision to introduce the charge.
