Background: What Is the City Visitor Charge?
Starting June 2025, Liverpool will officially introduce a £2 per night “tourist tax” for overnight visitors staying in hotels and serviced accommodations. The decision follows a ballot organized by the Accommodation BID, which represents 83 hotels and various short-stay providers across the city. The levy, formally titled the City Visitor Charge, is expected to generate £9.2 million over two years, with £6.7 million specifically earmarked to support Liverpool’s visitor economy.
How the Levy Will Work
The £2 charge will be collected directly by hotels and serviced accommodations. Guests will either pay the fee at check-in or when checking out. The funds will then be managed by Accommodation BID, a division of the Liverpool BID Company. This organization already manages two major business improvement districts in the city and represents more than 800 local businesses.
Rationale Behind the Move
Tourism plays a crucial role in Liverpool’s economy. According to Marcus Magee, chair of Liverpool’s Accommodation BID, implementing the levy gives the hospitality sector a direct influence on how the visitor economy is supported. “This is a major step in enabling the city’s hospitality sector to have a say and an influence on decisions about the visitor economy,” Magee stated. “This is crucial to the vibrancy and economy of the city.”
Industry Support and Business Backing
The ballot had a turnout of 53%, with 59% of participating hotels voting in favor. Bill Addy, Chief Executive of Liverpool BID Company, emphasized that the tourism charge would help Liverpool secure larger, international events. “The £2 levy will help Liverpool attract bigger events which, in turn, would bring more visitors and money to the city,” he said. He also noted that European cities using similar models have seen positive returns, transforming overnight stays into long-term investment in city events and infrastructure.
Following in Manchester’s Footsteps
Liverpool is not the first UK city to adopt a tourism levy. Manchester introduced a £1 per room, per night City Visitor Charge in April 2023. In just its first year, Manchester raised approximately £2.8 million, setting a precedent for other UK cities to consider similar measures. Liverpool’s levy, however, is double Manchester’s, reflecting both the city’s ambitions and anticipated tourism volumes.
Transparency and Governance
For a tourist tax to be implemented in England, a detailed and transparent business plan is required to outline how the funds will be used. Accommodation BID has committed to this standard, ensuring that the revenue supports initiatives that directly benefit the tourism and hospitality industry in Liverpool. These may include enhanced marketing campaigns, event sponsorships, or infrastructure improvements that elevate the visitor experience.
Conclusion: A Boost to Liverpool’s Tourism Sector
With the introduction of the City Visitor Charge, Liverpool joins a growing list of global destinations adopting tourist levies to reinvest in their visitor economies. The move reflects a broader trend toward sustainable tourism funding, ensuring that cities can maintain and improve the quality of experiences offered to visitors. While some travelers may balk at the added cost, many others will likely appreciate the benefits the fee helps bring to the overall stay.
Category: Travel News, UK Economy
Tags: Liverpool tourism, hotel tax UK, City Visitor Charge, Liverpool visitor economy, Accommodation BID, travel levy Liverpool, tourism fee, Liverpool hotels, UK travel tax, BID Company
