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A Brighton council leader has called for tourist tax powers to be given to local authorities so councils can “reinvest” in cities under pressure from high visitor numbers.
Labour Brighton & Hove councillor Bella Sankey made a case for granting tourist levy powers at the annual Labour Party conference in Liverpool in late September.
Brighton attracts around 11 million visitors every year to its seaside attractions, LGBT+ scene, vibrant nightlife, and an array of independent shops, restaurants, bars, and art galleries.
With tourists bringing in £1.27bn in economic benefits to the area annually, and supporting over 23,000 jobs, Brighton councillors are now seeking a way to enhance their visitor economy even further.
During a fringe event held by think tank the Society of Labour Lawyers at the Labour Party conference, Ms Sankey said that any visitor levy powers should be given to councils.
“I feel strongly that this is a power that should belong in local government, rather than just solely with combined authorities and with directly elected mayors,” she said, according to the Local Government Chronicle.
However, she said that this would “vary” and that there may be a case for “overlapping” powers for combined authorities.
“In my part of the world, the tourism economy we have in Brighton and Hove is very different to the tourism economy in the rest of Sussex,” the councillor explained.
At the conference, Ms Sankey predicted that after a local government reorganisation has been completed, it will be “much easier” for the Treasury to “start devolving more fiscal responsibility”.
The UK government proposed changes in December to local government in England, seeking simpler structures for devolved authorities.
Ms Sankey said that a tourism levy could be used to “reinvest” in the local area, such as places which feel the pressure of a high number of tourists.
Following her comments at the conference, the councillor reiterated her stance on X (formerly Twitter).
“We want to give our millions of visitors the best welcome and reinvest in our visitor economy to benefit local business,” she posted.
This is not the first time Ms Sankey has voiced her support for local fiscal powers being used to manage tourism.
Ms Sankey said in October last year that she would like to see new powers allowing councils within the UK to regulate the number of short-term holiday lets and have the power to allow them to decide on taxes for tourists.
“We’re not immune to the impact of the national housing crises,” she told The Independent in 2024.
“We need new powers to regulate the number of short-term lets and to allow us to charge a tourism tax, which we could then reinvest in our amazing city and ensure it remains the vibrant and welcoming place residents are proud of and so many millions of people love to visit.”
While Scotland and Wales have passed legislation permitting local authorities to levy ‘tourist taxes’ on accommodation, neither central nor local governments in England have the power to introduce tourist taxes at present.
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