Cardiff has confirmed it will introduce a visitor levy — a "tourism tax" — on overnight stays from 1 April 2027. If you host on Airbnb, run serviced accommodation, or manage short-term lets in the city, this is something to plan for now rather than react to later.
The levy is a small per-person, per-night charge that accommodation providers collect from guests and pass on to the authorities. It sounds simple, but the practical side — registering, setting it up correctly on your platforms, and getting your admin in order — is where hosts can trip up. Here's a plain-English guide to what's coming and what you'll need to do.
This article is general information, not legal, tax or accounting advice. Rates, dates and details can change, so confirm the current position with gov.wales or a qualified professional before acting.
What the visitor levy is
The visitor levy became law in Wales through the Visitor Accommodation (Register and Levy) etc. (Wales) Act. It gives individual councils the power to introduce a charge on overnight stays in visitor accommodation in their area. Cardiff is one of the authorities that has confirmed it will bring the levy in, with a start date of 1 April 2027.
The charge is per person, per night. Crucially, it is not a tax you absorb — it is collected from your guests and remitted onward. Your job as a host is to charge it correctly, keep it accounted for, and file and pay it on time.
The rates: £1.30 or 75p per person per night
Wales has set two rates:
- £1.30 per person, per night — the standard rate that applies to most accommodation, including hotels, self-catering properties, Airbnb and serviced accommodation.
- 75p per person, per night — a lower rate that applies to campsites and hostels.
VAT may apply on top of the levy where relevant, so factor that into how you present and account for the charge. If you're a standard-rated business for VAT, the levy interacts with your pricing and you should take advice on the correct treatment.
There are exemptions to be aware of too — for example, under-18s are set to be exempt from the levy. Check the technical guidance for the full list of exemptions before you finalise how you charge guests.
Who collects it — and why that matters for hosts
The levy is collected by the accommodation provider or the agent acting on their behalf, and then remitted to the authorities. In other words, the responsibility to collect and pass on the charge sits with whoever is operating the accommodation.
This raises a question every owner-operator or managed host needs to settle clearly: who actually holds that responsibility on your property? If you self-manage, it's you. If you use a management company or co-host, you need it in writing who is registering, collecting, accounting for and remitting the levy. This is exactly the kind of detail that should not be left vague.
Registration opens in autumn 2026 — and it's mandatory
Before the levy itself starts, Wales is introducing a statutory register of visitor accommodation. Registration is expected to open in autumn 2026.
Two important points for hosts:
- Registration is mandatory and free for anyone providing paid overnight accommodation.
- It applies even if your property is not in a levy area. The register is Wales-wide, so hosts across the country need to register regardless of whether their local council has adopted the levy.
So even if you host outside Cardiff, registration will still apply to you. Get it on your calendar for autumn 2026.
When you'll file and pay
The levy operates on an annual cycle. Providers will need to submit their return and payment by 31 May for the relevant period. That means keeping accurate records throughout the year of nights sold and guests stayed, so your return is straightforward rather than a scramble.
Good record-keeping is the quiet backbone of getting this right: number of guests, number of nights, any exemptions applied, and the levy collected on each booking.
What Cardiff hosts should do now
You have time, but the hosts who handle this smoothly will be the ones who prepare rather than wait. Practical steps to plan for:
- Diarise the key dates: registration opening in autumn 2026, the levy starting 1 April 2027, and the 31 May return and payment deadline.
- Plan your pricing. Decide how the £1.30 (or 75p) per person per night will show up for guests, and how VAT is handled, so your nightly rates and total prices stay competitive and clear.
- Sort your platform setup. Work out how the levy will be applied within Airbnb and any other booking channels you use, so it's collected correctly on every stay.
- Clarify who's responsible. If someone manages the property for you, agree in writing who registers, collects, accounts for and remits the levy.
- Set up your admin. Put a simple system in place to record guests, nights and exemptions from day one, so the annual return is painless.
Final thoughts
The Cardiff visitor levy is not a reason to panic, but it is a new operational and administrative responsibility for hosts. The charge itself is modest — £1.30 per person per night for most accommodation — but the surrounding requirements are real: mandatory Wales-wide registration from autumn 2026, correct collection from 1 April 2027, accurate records, and an annual return and payment by 31 May.
For busy owners, the levy is one more thing to layer on top of guest communication, cleaning, pricing and maintenance. Getting the setup right once, and keeping clean records, is what turns it from a headache into routine admin.