Cardiff Council Approves £1.30 Visitor Levy on Hotels 2026

Key Points

• Cardiff Council has approved the introduction of a visitor levy following a full council vote on 27 March 2026.
• Visitors will pay £1.30 per person per night for stays in hotels and most other accommodations, with 75p per person per night for campsites and shared rooms like hostels.
• The levy applies to paid overnight stays of 31 nights or less in hotels, hostels, guesthouses, Airbnbs, campsites, and temporary event accommodation.
• Approval follows new Welsh legislation receiving Royal Assent in September 2025, enabling councils across Wales to implement such charges.
• A public consultation showed 62% support from respondents.
• Estimated annual revenue: £3.5 million, to be collected by the Welsh Revenue Authority and passed to Cardiff Council.
• Exemptions include minors under 18 in campsites/shared accommodations, stays over 31 consecutive nights, and council-arranged emergency/temporary housing.
• Cardiff becomes the first location in Wales to adopt a tourism tax for overnight guests.
• Implementation targeted for April 2027, pending final approvals.
• Public consultation ran for 12 weeks starting December 1, 2025, with a proposal submitted to Cabinet and full council by March 2026.

Cardiff (Cardiff Daily) March 28, 2026 – Cardiff Council has voted to introduce a visitor levy, making it the first local authority in Wales to implement such a charge on overnight stays. Visitors will pay £1.30 per person per night for most accommodations, with the policy approved after strong public support and new Welsh Government legislation.

What Triggered Cardiff Council’s Visitor Levy Decision?

Cardiff Council’s decision stems from the Welsh Government’s Visitor Accommodation Levy legislation, which received Royal Assent in September 2025. As reported by the ItsOnCardiff team of itsoncardiff.co.uk, the full council approved the levy following a public consultation where 62% of respondents expressed support.

The proposal had been in development since November 2025. According to Huw Briscoe of WalesOnline, Cardiff Council sought Cabinet approval for a 12-week public consultation starting 1 December 2025, with a final proposal due for Cabinet and full council review by March 2026.

ITV News Wales reported the vote on Friday 27 March at 5.56pm, confirming visitors will pay the levy for hotel and other city accommodations.

Which Accommodations Will the Levy Cover?

The levy targets paid overnight stays of 31 nights or less across various providers. As detailed in the ItsOnCardiff article, it includes hotels, hostels, guesthouses, Airbnbs, campsites, and temporary event accommodation.

WalesOnline’s coverage specifies the fee structure: £1.30 per person per night for most types, dropping to 75p for campsites and shared rooms such as hostels.

Wales247.co.uk echoed this, noting the legislation outlines these exact rates for qualifying stays.

Who Is Exempt from Paying the Levy?

Certain groups will not face the charge. WalesOnline listed exemptions as minors under 18 staying in campsites or shared accommodations, individuals booking more than 31 consecutive nights in one reservation, and residents in emergency or temporary housing arranged by the council.

The ItsOnCardiff report aligns, emphasising these protections to ensure the levy targets tourists fairly.

How Much Revenue Does Cardiff Expect?

Projections indicate significant funds for local investment. Huw Briscoe of WalesOnline stated the levy could raise £3.5 million each year, paid to the Welsh Revenue Authority, which would then distribute it to Cardiff Council.

Wales247.co.uk similarly forecasted £3.5 million annually from the proposed charges.

What Was the Public and Political Response?

Public backing proved pivotal. The ItsOnCardiff outlet highlighted 62% consultation support, following the 12-week period ending before the March vote.

Earlier WalesOnline coverage from November 2025 noted Cardiff as the pioneer in Wales for this tourism tax.

A Facebook video from WalesOnline posed the question,

“Would you be happy to pay a £1.30 tax to stay overnight in Cardiff?”

to gauge sentiment, underscoring the policy’s novelty.

When Will the Visitor Levy Take Effect?

Implementation timelines point to next year. WalesOnline reported that if approved—which it now has—the levy could launch by April 2027.

The council’s timeline, per ItsOnCardiff, aligns with this post-approval rollout.

Cardiff’s modern.gov document appendix outlines the proposal for all qualifying stays under Welsh Government guidelines.

Why Introduce a Visitor Levy in Cardiff?

Councillors argue it funds tourism infrastructure without burdening locals. The policy leverages Cardiff’s status as a major draw—home to events, sports, and culture—to reinvest in the city.

As the first in Wales, it sets a precedent. ITV News Wales framed it as a direct council vote outcome, focusing on the £1.30 hotel levy.

WalesOnline’s March update confirmed approval, with revenue earmarked for local benefits.

How Does Cardiff’s Levy Compare to Elsewhere?

While new to Wales, similar schemes exist in Scotland. Cardiff’s rate—£1.30 standard, 75p reduced—mirrors legislative caps.

No direct Welsh comparisons yet, as Cardiff leads. Wales247 noted the potential £3.5m boost, akin to other UK visitor taxes.

What Happens to the Collected Funds?

Revenue flows through the Welsh Revenue Authority. WalesOnline specified it “would be paid to the Welsh Revenue Authority, which would then pass the levy on to the local authority.”

Councils decide spending, likely on tourism, cleaning, or events, per consultation aims.

Background on Welsh Legislation

The enabling law passed in 2025. ItsOnCardiff credited Royal Assent in September 2025 for allowing Wales-wide optionality.

This followed debates on sustainable tourism funding.

Detailed Consultation Process

The 12-week phase began 1 December 2025. WalesOnline’s Huw Briscoe detailed Cabinet seeking approval then, leading to March’s full council green light.

62% approval swayed the vote, per ItsOnCardiff.

Stakeholder Reactions?

Hospitality voices varied. While not quoted directly in sources, the consultation captured broad input.

WalesOnline’s poll-style video invited public views on the £1.30 charge.

Council members championed it for city enhancement.

Implementation Logistics?

Accommodation providers collect and remit. Legislation mandates this, with authority oversight.

ItsOnCardiff specified the 31-night cap and types.

Economic Impact Analysis?

£3.5m could transform sectors. Wales247 highlighted yearly potential from short stays.

Supports jobs, maintenance amid tourism growth.

Political Context in Cardiff?

Full council vote on 27 March sealed it. ITV timestamped at 5.56pm.

Follows Cabinet review.

Future for Welsh Tourism Taxes?

Cardiff pioneers; others may follow. Legislation empowers all councils.

WalesOnline called it “new visitor tax plans.”

Broader Welsh Government Role

Royal Assent enabled rollout. Funds stay local.