Question to the HM Treasury:

To ask the Chancellor of the Exchequer, pursuant to the Answer of 17 January 2025, to Question 23941, on Tourism: Taxation, and further to the MHCLG press release, "Levy on overnight trips will help mayors invest in local growth", of 25 November 2025, what was the rationale for the change in the Chancellor’s policy further to that set out in January.

The Government keeps all tax policy under review. The Government’s number one mission is to kickstart economic growth, and devolving fiscal powers is critical to achieving this.

Introducing powers to raise a visitor levy provides Mayors with a new lever to both raise and reinvest revenue locally. Mayors in Strategic Authorities have made clear that introducing a new, discretionary visitor levy power is one of their shared priorities for further devolution.