Overnight Visitor Levy: What Could It Mean for Nottinghamshire’s Visitor Economy

The Overnight Visitor Levy (OVL) Bill was included in the 2026 King’s Speech and forms part of the Government’s legislative programme. If introduced, the Bill would give English mayors, including the East Midlands Mayor, powers to introduce a levy on paid overnight stays, creating the potential for additional investment in local destinations.

For Nottingham and Nottinghamshire, where the visitor economy supports more than 22,500 jobs and contributes £2.53 billion annually to the local economy, the proposals could provide a significant opportunity to generate new funding for destination marketing, visitor infrastructure, business events, public realm improvements and product development.

No decision has been made on whether an Overnight Visitor Levy will be introduced in the East Midlands, and no rate or fixed fee has been agreed. As the legislation progresses, the tourism industry will have an important role to play in shaping how any future scheme is designed. Key considerations for businesses include ensuring any levy is proportionate, simple to administer, developed in consultation with the visitor economy and, critically, ring-fenced so that income is retained locally and reinvested directly into growing tourism and supporting destinations, rather than being used to address wider budget pressures.

A clear national framework will also be essential, providing consistency around administration, exemptions and implementation while ensuring England remains competitive for both leisure visitors and business events.

Further consultation is expected before any decisions are taken. Marketing Nottingham and Nottinghamshire, including Visit Nottinghamshire, will continue to engage with EMCCA, local authorities and industry partners, and will keep businesses informed as more details emerge, including opportunities to provide feedback and help shape the future of the policy.

 

Megan Powell Vreeswijk
CEO, Marketing Nottingham and Nottinghamshire, including Visit Nottinghamshire

Posted on 22 July 2026

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