Income from tourist tax to be allocated for events similar to Oasis

Cardiff council has announced plans to introduce a tourist levy, with funds earmarked for hosting large-scale events, including this years Oasis reunion concerts. The Welsh capital is the first area in the country to begin a public consultation on proposals that could add up to 1.30 per person to the cost of overnight stays.

Council leader Huw Thomas stated that the levy could generate around 3.5 million annually. He emphasized that the revenue would be invested in enhancing the visitor experience and supporting the local tourism economy. "Our goal is to grow tourism in Cardiff, welcome more visitors, and provide the resources to ensure they have an excellent experience," Thomas explained.

The consultation aims to gather public and industry input ahead of a potential implementation in April 2027. Thomas highlighted that the levy would help manage the impact on local communities during major events and assured that the funds would not be used to cover other council budget shortfalls. "This income will allow us to market Cardiff internationally and attract new events," he said.

City centre warden manager Dave Sultana noted that the additional revenue could expand the presence and hours of wardens, enhancing services for both residents and visitors. Currently, wardens operate Tuesday through Saturday, with limited evening coverage.

Hospitality and accommodation providers are being encouraged to contribute to the consultation to ensure the levy is implemented effectively. Nick Newman, director of the citys business improvement district For Cardiff, expressed support while emphasizing the importance of using the funds to improve the citys appearance and appeal to tourists.

Across the UK, several cities have already introduced similar visitor charges. Manchester began charging 1 per night in 2023, raising 2.8 million, while Liverpool implemented a 2 overnight fee in June, with the funds managed by local businesses. Edinburgh is set to introduce a 5% charge on hotel bills for up to five nights starting July 2026. These levies have been used to fund major events and enhance tourism infrastructure.

Business leaders in Liverpool reported broad acceptance of the levy among visitors, who see it as supporting local hospitality. They stressed that collaboration with businesses is crucial to ensure the money is spent on tourism and event initiatives, rather than to fill council budget gaps. The Liverpool levy has supported events such as world boxing matches and the UK chess championships, demonstrating the potential benefits of such funding models.

With Cardiff likely to be the first Welsh council to implement a visitor levy, other councils and accommodation providers will be observing closely to assess its impact on tourism and city events.

Author: Sophia Brooks