The elected mayor of York and North Yorkshire, David Skaith, has expressed his support for the introduction of a tourist tax to help fund public services and contribute to the maintenance of popular tourist destinations across the region. His backing follows similar calls from senior councillors in York and the local Labour Member of Parliament (MP) for York Central, Rachael Maskell, who have all advocated for a county-wide levy on visitors.
Skaith, a Labour representative, emphasized the need for mayors to have greater financial autonomy, especially as they take on more responsibilities at the local level. He suggested that a modest tourist levy, akin to those already in place in many European cities, would help York and North Yorkshire invest in vital public services, which would benefit both residents and tourists alike. This, he explained, could include funding for transport infrastructure, as well as the upkeep of the region’s renowned landmarks.
However, the UK government has responded by stating that there are no current plans to empower local authorities in England with the authority to implement tourism taxes. Despite this, some mayors, such as Tracy Brabin from West Yorkshire, have been in talks with the chancellor about granting regional authorities more control over tax powers, including the potential for a visitor levy.
In addition to the growing support for a tourist tax, recent examples of such measures being implemented in other cities across the UK have fueled the debate. Edinburgh, for instance, plans to introduce a 5% tax on visitor accommodation charges starting in July 2026, while Manchester has already instituted a £1 nightly charge for accommodation stays. These developments have led some to question whether York and North Yorkshire should follow suit.
Skaith pointed out that York alone attracts more than 25 million visitors each year, making it a prime candidate for a visitor levy. He believes that such a tax could generate much-needed funds for maintaining the city’s famous tourist attractions and improving essential services for local residents. “A modest visitor levy, like those in most European cities, would allow us to invest in public services,” he remarked. “It would help us keep our great places attractive for both residents and visitors, as well as improving services that residents rely on, such as transport.”
The debate over a potential tourist tax in York and North Yorkshire is ongoing, with various stakeholders expressing differing opinions on how the levy would be implemented and who would be responsible for collecting it. Labour-run City of York Council’s leaders, Claire Douglas and Pete Kilbane, have also shown their support for a visitor levy. Kilbane suggested that the local authority would push for greater powers from the government to levy such a charge and determine how the funds would be allocated.
One estimate, based on a charge of £1 to £2 per night for accommodation stays in York, suggests that the city could raise between £1.7 million and £3.4 million annually from the levy. While this figure may seem promising, there are concerns from the hospitality sector about the impact of additional charges on local businesses.
Rebecca Layton, chair of Indie York and owner of the Galtres Lodge Hotel, expressed opposition to the idea, stating that there is currently insufficient detail about the proposal to form a solid opinion. She also noted the significant financial pressures already facing the hospitality industry, including upcoming increases to the minimum wage and National Insurance contributions.
On the other hand, some business owners, like Keith Rozelle, who runs a York-based sales and marketing company, are more receptive to the idea of a visitor levy. Rozelle stated that while the city’s tourism industry is a vital part of the local economy, something needs to be done to address the challenges posed by austerity measures and dwindling council budgets. “Something has got to be done because councils’ budgets have been pared to the bone,” he said, adding, “The city is an amazing place, I want to keep it amazing.”
As the debate continues to unfold, it remains to be seen whether a visitor levy will gain sufficient political support to become a reality in York and North Yorkshire. If it does, the funds generated could help ensure the ongoing sustainability of the region’s public services and preserve its appeal as a top tourist destination.