U-turn on plans for tourism tax on children's trips

Children and young people staying in hostels, campsites or outdoor centres in Wales will be exempt from paying a proposed tourism tax, the Welsh government has announced.

Concerns had been raised that a charge of 75p per night, would make school trips unaffordable to low-income families.

Finance Secretary Mark Drakeford had previously said that exempting children from the visitor levy would see a "significant fall" in revenue.

But during discussions in the Senedd, Drakeford said that, having considered the evidence again, under 18s staying at lower level accommodation "would now be exempt altogether". However charges for everyone else will increase by 5p per night.

Councils would decide whether to introduce the fee if a new law is passed by the Senedd, with charges possibly starting in 2027.

Not all local authorities are expected to introduce the charge, but if they did it would raise about £33m a year.

This would mean that the fee for staying at hotels, B&Bs and self-catering accommodation would increase from the £1.25 originally proposed to £1.30 per person per night.

For hostels and campsites it would increase from 75p to 80p.

Drakeford said the visitor levy will "cost less than a sausage roll", "less than half a cup of coffee" and "less than a bottle of water".

"I don't believe for a single moment that paying this modest levy will put people off from everything that Wales has to offer."

"This modest bill will do good, it will offer choice to people."

The Welsh government said money raised would help fund services in tourism hotspots, but critics believe it will deter visitors.

Conservative Aberconwy Senedd member Janet Finch Saunders said that her party was "totally against" the measure, and believes that it will be "detrimental to Welsh tourism businesses".

Whilst her Tory colleague Gareth Davies said that the tax sends a message to those thinking of booking a holiday "that Wales is closed for business and tourists are not welcome".

Plaid Cymru's Luke Fletcher supported the bill, saying that tourism "places unsustainable pressures on our communities, particularly in those areas, of course, where tourism is at its most intense".

Adding that such a tax was common across Europe "without any detrimental impact on their tourism sectors" and was a "sustainable way to support local economies and tourism infrastructure".

Some tourism operators have criticised the plans saying they could deter people from visiting Wales.

Other groups, including the Scouts, raised concerns that young people could miss out on camps and overnight stays in Wales.