Overview

• Senedd members are due to give the bill final approval today to allow councils to introduce an optional overnight stay levy from 2027.
• Under the two-tier system, hotels and holiday lets will pay £1.30 per person per night while hostels and campsites are charged 75p.
• Proceeds, projected to reach £33 million annually if fully adopted, must be spent on tourism infrastructure such as footpaths, beach maintenance and Welsh language initiatives.
• An official assessment predicts outcomes spanning a £10.8 million economic boost with 100 new jobs to a £7.3 million loss with 390 fewer positions.
• Several councils including Pembrokeshire and Vale of Glamorgan have ruled out adoption and Welsh Conservatives have pledged to scrap the levy if they win the 2026 election.