England Tourist Tax: What Property Managers Need to Know in 2026
England does not have a tourist tax yet. Scotland does, Wales has legislated one, and England is working through the powers that would let individual mayors follow suit. For anyone managing short-term rental properties in the UK, where your properties are located determines whether this is a 2026 problem, a 2027 problem, or something you are still watching from a distance.
Edinburgh’s visitor levy goes live on 24 July 2026. Wales can start charging from April 2027. England’s Devolution Bill is in the House of Lords, and the earliest any English city could realistically introduce a levy is 2027 or 2028, with London and Manchester the most likely to move first.
Here is what is confirmed, what is still being decided, and what to do depending on where your properties are.
More about: Visitor Levy UK: what’s confirmed now and what comes next
What Is England’s Tourist Tax?
The proposed England tourist tax is an overnight visitor levy: a charge added to paid accommodation stays, collected by the property operator and remitted to the local authority. It would apply to hotels, B&Bs, guesthouses, and short-term rentals including Airbnb and self-catering holiday lets.
The power sits with Mayoral Strategic Authorities, not with central government. Mayors in Greater London, Greater Manchester, West Yorkshire, and similar areas would decide whether to introduce it, set the rate within the national framework, and determine how the money is spent. No mayor is obliged to act.
As of April 2026, no England tourist tax exists. The consultation closed in February 2026, the Devolution Bill is still in the Lords, and nothing is confirmed for any English city.
The UK in 2026: Three Nations, Three Timelines
There is no single national tourist tax in the UK. What is developing is a patchwork of local levies, each with different rules, rates, and start dates.
| Nation | Status (April 2026) | Rate | Start date |
|---|---|---|---|
| Scotland (Edinburgh) | In force | 5% of accommodation cost, max 7 nights | 24 July 2026 |
| Wales | Legislation passed, council opt-in | £1.30/person/night (self-catering) · 75p (campsites/hostels) | Earliest April 2027 |
| England | Consultation closed, Bill in Lords | To be set by each mayor | Earliest 2027/28 |
| Northern Ireland | No plans confirmed | N/A | N/A |
Scotland: Edinburgh Charges from July 2026
Edinburgh is the first UK city with a statutory tourist tax. The Visitor Levy (Scotland) Act 2024 gives Scottish councils the power to charge a levy on overnight stays. Edinburgh voted to go first.
How it works:
- 5% of the accommodation cost per night, calculated before VAT
- Capped at seven consecutive nights per stay
- Applies to UK residents and international visitors alike
- Covers hotels, B&Bs, self-catering, and holiday lets
- Properties below the VAT threshold are not exempt
- Applies to stays from 24 July 2026 that were booked on or after 1 October 2025
On a £150-per-night property, the levy is £7.50 per night. Edinburgh estimates the charge will raise £40-50 million annually, with revenue earmarked for housing, city maintenance, and managing events like the Fringe.
The operator collects the levy from the guest and remits it to the City of Edinburgh Council. Other Scottish councils can introduce their own levies under the same Act, but none have confirmed a start date beyond Edinburgh.
Wales: Registration Mandatory from Autumn 2026, Levy from April 2027
The Visitor Accommodation (Register and Levy) Etc. (Wales) Act 2025 received Royal Assent in September 2025. It creates two separate obligations for operators: a mandatory registration requirement, and an optional council-level levy.
Registration: All accommodation providers in Wales must register with the Welsh Revenue Authority (WRA) from autumn 2026. This applies regardless of whether your local council introduces the levy. Missing registration can result in penalties.
The levy rates, set nationally:
- £1.30 per person per night for self-catering, hotels, and B&Bs
- 75p per person per night for campsites and hostels
- Stays over 31 consecutive nights are exempt
- Under-18s exempt in campsites and hostels
Each of Wales’s 22 councils decides independently whether to charge the levy. Cardiff voted to adopt it on 26 March 2026 and is expected to launch in 2027. Other councils are at varying stages of consultation. Any council that decides to proceed must give 12 months’ notice, which means a September 2026 decision would result in an October 2027 start.
The WRA administers collection nationally. Operators collect from guests and file quarterly returns.
England: What the Consultation Said
The government launched its consultation on the overnight visitor levy for England in November 2025. It closed in February 2026. The consultation was not asking whether to introduce a tourist tax. It was asking how to design the framework for mayors to use.
Confirmed:
- Mayoral Strategic Authorities will receive the power to introduce a levy
- Each mayor chooses whether to act, the rate, and exemptions (within the national framework)
- All paid accommodation is expected to be in scope, including short-term rentals
- Standard exemptions cover emergency housing and primary residences
- Central government will not reduce existing funding to mayors who adopt the levy
Not yet confirmed:
- Whether rates will be flat-fee or percentage-based
- Any national cap on what mayors can charge
- Whether non-mayoral Foundation Strategic Authorities also get the power
- The exact legislative timeline
The Devolution Bill is currently in the House of Lords. If the visitor levy power can be added via amendment, cities could potentially move toward a 2027 launch. If separate legislation is needed, the realistic timeline is 2027/28 or later.
What Is Already Happening in English Cities
Some English cities are not waiting for the statutory framework. Business Improvement Districts (BIDs) allow local businesses to vote on a shared levy, and several have already used this route:
- Manchester has charged £1 per night since 2023 for visitors in hotels and apartments within its ABID zone.
- Liverpool restructured its ABID charge in 2025 to 1.6% of the accommodation cost within its zone.
- Bournemouth, Poole and Christchurch introduced a tourism levy in July 2024.
These BID charges are not the same as a statutory visitor levy. They tend to cover specific zones rather than whole cities, they apply unevenly across accommodation types, and they are run by the BID rather than the council. But they establish the precedent and add to the cost stack operators already manage.
London and Manchester have both signalled intent to act quickly once statutory powers arrive. London’s mayor estimates a modest levy could raise £240 million a year. Manchester already has the voluntary infrastructure and the political appetite to formalise it.
What Operators Need to Do Now
Edinburgh: The levy is live from 24 July 2026. Register with the City of Edinburgh Council, set up collection, and start charging 5% on eligible stays. Operating below the VAT threshold does not exempt you.
Read more about: Edinburgh’s STR Licensing Dilemma
Wales: Register with the WRA from autumn 2026, regardless of whether your council charges the levy. If Cardiff or another council where you operate has confirmed adoption, start building collection into your check-in process now. The first levy payments begin in April 2027 at the earliest.
England (London or Manchester): No immediate requirement, but these are the highest-probability early adopters once the statutory power exists. Factor the coming levy into pricing models and start thinking about guest communication.
England (everywhere else): Watch the Devolution Bill. If you are in a mayoral area, a levy is likely within two to three years. If your city already operates a BID charge, check whether your property falls within the zone.
How Chekin Automates Tourist Tax Collection
The operational burden of a tourist tax is not the charge itself. It is the calculation, collection, recording, and quarterly remittance for every booking, across every property, managed accurately enough to survive an audit.
Chekin already handles this for operators in markets where tourist taxes are mandatory. The same infrastructure applies to UK levies as they come into force.
For Edinburgh operators from July 2026, and Welsh operators from 2027, Chekin integrates the levy into the online check-in flow. The guest pays at check-in, the amount is recorded against a verified identity and timestamped stay, and the operator has a clean remittance record without touching a spreadsheet. As English cities follow with their own rates and rules, the system adapts.
Beyond tax collection, Chekin manages the full guest journey: online check-in, identity verification, smart lock access, digital guest guide, and AI-powered inbox across all booking channels. The levy is one part of a check-in process that handles everything from arrival to departure.
Conclusion
The England tourist tax is not here yet, but it is coming. Edinburgh is already charging. Wales has passed the legislation. England is one bill away from giving its mayors the same powers, and London and Manchester are ready to use them.
For short-term rental operators in the UK, 2026 is a preparation year. Edinburgh operators need to act now. Welsh operators need to register by autumn regardless of what their council decides. English operators have a window to get systems in place before the first cities move.
Chekin can handle the collection side so you are not building a manual process that needs replacing in twelve months.
Frequently Asked Questions
No. As of April 2026, England has no statutory tourist tax. The government has confirmed it will give Mayoral Strategic Authorities the power to introduce overnight visitor levies through the English Devolution and Community Empowerment Bill, currently in the House of Lords. The earliest any English city could realistically introduce a levy is 2027 or 2028.
The UK visitor levy is the general term for overnight accommodation charges being introduced across different nations of the UK under separate legislation. Scotland’s levy is in force in Edinburgh from July 2026 at 5% of the accommodation cost. Wales has passed legislation for councils to charge from April 2027. England is still in the legislative process.
Edinburgh charges 5% of the accommodation cost per night, capped at seven consecutive nights per stay. It applies to stays from 24 July 2026 booked on or after 1 October 2025. On a £150-per-night property, that is £7.50 extra per night.
The Wales visitor levy is set nationally: £1.30 per person per night for self-catering accommodation, hotels, and B&Bs, and 75p per person per night for campsites and hostels. Stays over 31 consecutive nights are exempt. Each council decides whether to adopt it, with the earliest start date being April 2027.
Yes, where levies are in force or confirmed. Edinburgh’s 5% levy covers all paid overnight accommodation, including self-catering and holiday lets. Wales’s £1.30 charge applies to self-catering. England’s proposed framework is expected to include short-term rentals and Airbnb-type properties.
Yes. All accommodation providers in Wales must register with the Welsh Revenue Authority from autumn 2026, regardless of whether their local council introduces the levy. This is a separate legal requirement under the Visitor Accommodation (Register and Levy) Etc. (Wales) Act 2025.
No confirmed date. Mayor Sadiq Khan has publicly supported the visitor levy and London is expected among the first English cities to act once the Devolution Bill passes. If legislation clears Parliament in 2026, London could potentially launch a levy in 2027 or 2028.
The accommodation provider collects it and remits it to the relevant authority. In Edinburgh, that is the City of Edinburgh Council. In Wales, the Welsh Revenue Authority manages the system nationally, with operators filing quarterly returns. England’s collection framework is still being designed
Yes. Common exemptions include stays over 31 consecutive nights (Wales), emergency accommodation, primary residences, and homeless shelters. Edinburgh exempts stays booked and paid before 1 October 2025. Under-18s in certain categories (campsites, hostels) are exempt in Wales. Each scheme has its own rules.
