IT is right that York receives its fair share of any income raised through a tourist tax, the council's leader has said.
Labour City of York Council Leader Cllr Claire Douglas said the significant costs that came with the city being a hugely popular visitor destination could be mitigated with levies on overnight stays.
Cllr Douglas added she looked forward to working to ensure the benefits of a potential visitor levy are realised in York as they have been in other cities around the world.
It comes after Labour York and North Yorkshire Mayor David Skaith told The Press money raised in the city from a £1-a-night Overnight Visitor Levy would be spent regionwide.
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The mayor's comments follow a report he commissioned which found a £1-a-night charge on overnight stays could be viable, and could raise up to £26 million a year.
The York and North Yorkshire Policy Lab report commissioned by the mayor recommended a flat fee levied through a low-cost digital platform as the best option for the charges.
It also found levies in destinations such as Barcelona, Edinburgh, Manchester and Paris had not deterred visitors but recommended exempting some stays from charges.
The report stated money raised could be invested back into the local hospitality and tourism industry and support services used by visitors and residents.
Plans to give mayors the power to levy charges on tourists were announced by Sir Keir Starmer’s Government in May, with places such as Manchester previously introducing them through legal workarounds.
The findings prompted calls from York's Liberal Democrat opposition leader Cllr Nigel Ayre to ensure that money raised from the charge in York is spent in the city.
Cllr Ayre said income should be used to improve the city centre, freeing up council cash to be spent in York's residential neighbourhoods.
Labour Council Leader Cllr Douglas said she looked forward to working with the mayor on the proposals.
The council leader said: “It’s right that York sees its fair share of income raised through the levy, reflecting its almost six million overnight stays in 2025.
“As a hugely popular visitor destination there are significant costs to York that can be mitigated with a visitor levy.”
Speaking to The Press, the mayor said money would probably be divvied up between businesses, events and councils but added it was too early to go into details.
Mr Skaith previously said a levy could be a game-changer for the region.
He added he would continue to speak to the tourism and hospitality sector about the proposals going forward.
Businesses including hotels have previously warned against introducing the charges, saying they risked putting tourists off during challenging economic times.
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