The UK Government has launched a consultation on proposals that would enable Mayoral Combined Authorities to introduce a tourism levy. If implemented, the levy could be applied to visitor accommodation to raise funds for local services and visitor economy investment.

Summary

The consultation seeks views on the design of a new Mayoral power to create visitor levies on overnight stays in England.

The consultation closes at 11:59pm on 18 February 2026

Consultation description

The government is giving Mayoral Strategic Authorities in England the power to create local overnight visitor levies. We are seeking views on the design of the new power including: 

• whether Foundation Strategic Authorities should also have the power to create overnight visitor levies
• how any revenues collected should be used
• the types of accommodation that will and will not be included
• how levy rates should be calculated, and the powers Strategic Authorities have to change them
• what Strategic Authorities need to do to introduce a levy and to change it​
• liability for the levy and how this will be assessed
• the administrative framework for overnight visitor levies, including options to minimise regulatory requirements
• equalities impacts​

These proposals may have implications for visitor economy businesses in County Durham, and it is important that the sector’s views are fully represented. Visit County Durham (VCD) will be submitting a response and wants to ensure it reflects the perspectives, opportunities, and concerns of local businesses.

To support this, VCD will be arranging a series of discussions with visitor economy businesses across the county. These sessions will provide an opportunity to explore the proposals in more detail, gather feedback, and ensure the sector is fully informed before responding to the consultation.

We strongly encourage businesses to:

• Share your views with Visit County Durham, so they can be incorporated into our sector response partners@visitcountydurham.org
• Respond directly to the Government consultation, ensuring your organisation’s voice is heard - https://www.gov.uk/government/consultations/overnight-visitor-levy-in-england

Your input is essential in shaping how any future levy might operate and what it could mean for the visitor economy in County Durham. Further details about the roundtables will be shared shortly.