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London’s 5% tourist tax proposal sparks debate ahead of 2026 rollout

A bold move to ease pressure on public services—or another hit to travelers’ wallets? London’s proposed tax could reshape how cities fund infrastructure in a post-pandemic world.

This is a picture of a hotel. In the foreground of the picture there are couches, pillows, chairs,...
This is a picture of a hotel. In the foreground of the picture there are couches, pillows, chairs, tables, flower vases and flowers. On the left there are windows, curtains and lamps. On the right, there are windows, curtains and lamps. In the center of the background there are light and a frame. At the top there is a mirror, there are lights in the ceiling.

London’s 5% tourist tax proposal sparks debate ahead of 2026 rollout

London is set to introduce a 5% tourist charge from 2026, following similar moves by Edinburgh and Glasgow. The proposal is part of a wider trend as major UK cities explore new levies on visitors to fund public services and infrastructure improvements. A consultation phase is currently underway before any formal adoption takes place.

The planned tax would apply to most types of accommodation, including hotels, Airbnbs, and guesthouses. Cities like London and Manchester may opt for either a small flat nightly fee or a percentage of the hotel bill, mirroring systems already in place in Paris, Milan, and New York Times.

The new levy would bring UK cities in line with international destinations that already impose news taxes. If approved, the funds raised will go towards improving local services and managing visitor time. The final decision on fees and implementation will follow the consultation period next year.

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