Andy Burnham has approved a new holiday tax, which could be rolled out across England in less than two years.The Prime Minister gave regional mayors the power to impose an unlimited ‘overnight visitor levy’ on stays in hotels, B&Bs and holiday lets in England.But not everyone is convinced.Elsewhere in Europe, tourism taxes may have injected some cash into the local infrastructure – but there is little evidence they work, the Guardian reported.In Venice, for instance, a trial day-tripper fee was in place for some of this summer – yet the Italian city still saw huge numbers of visitors and even demonstrations.Meanwhile, travellers aged 16 and over are expected to pay a varying local rate plus 10 per cent VAT when visiting spots including Mallorca, Menorca, Formentera and Ibiza – but this summer, some of the Spanish hotspots have still grappled with huge visitor numbers and anti-tourism protests. Tourist taxes have been put in place in popular destinations such as VeniceAs for Barcelona, tourists face nightly fees of up to €15 (£13) following a significant increase in the local tourist tax, making it one of the highest in Europe – but the impact has been ‘all cosmetic’, Daniel Pardo Rivacoba, who works for the Neighbourhood Assembly for Tourism Degrowth in Barcelona, told The European Correspondent.Hotel bosses and tourism workers are particularly unimpressed with the new UK tourist tax – and many have weighed in with their thoughts on the matter.Anthony Duffey, the owner of Sunnyside Bed and Breakfast in Southport, told the Daily Mail: ‘The proposed visitor levy feels like another burden at a time when many small businesses are already finding things tough. ‘Many B&Bs have only recently had to deal with Making Tax Digital, bringing additional administration and costs, and now we may have another tax to collect and account for. Many small businesses in seaside towns are at breaking point.’Anthony added: ‘The latest full-year Great Britain Tourism Survey statistics show that domestic overnight trips to the seaside and coast in England fell by 18 per cent in 2025 compared with 2024. ‘That, coupled with rising energy, insurance and food, makes it difficult to run your business. The addition of another tax on the horizon is a cause for concern. The current government made promises to cut red tape and tax billionaires before coming into power, yet this feels like the complete opposite.’What does this mean for tourism in the UK? He argues: ‘This also strengthens people’s cases for holidaying abroad over staying in the UK.’ Barcelona has also seen new taxes imposed – but the question remains: have they worked? ‘Many small guest houses are already operating under significant financial pressure. Adding another tax and another layer of administration could push some businesses over the edge, resulting in owners losing businesses they have spent years building and people losing their livelihoods.’Concerns have also arisen from official travel bodies.The Business Travel Association (BTA), beam (business meetings accommodation and events) and the Meetings Industry Association (MIA) have responded to the government’s announcement of a nationwide overnight visitor levy framework.A statement said: ‘This is a short-sighted move that risks making Britain’s cities less competitive at exactly the moment we should be doing everything we can to attract investment, events and business.’The real question isn’t whether a tourist tax is a good or bad idea, but whether it will actually benefit the destinations and businesses being asked to pay it. ‘Tourist taxes are widely used across Europe and, if the revenue is invested back into tourism, they can provide valuable funding for infrastructure and services that support the visitor economy and help attract more events and spending.’Of greater concern is what happens if every region is left to decide its own approach. A patchwork of different charges and rules could make it harder for businesses to operate and leave the UK looking disjointed to international markets. We should be competing with other countries, not creating a situation where UK destinations are competing with each other on tax. Andy Burnham, pictured on Thursday, was accused of launching another raid on struggling families last night after he approved a new holiday taxHow can this be made to work? The statement added: ‘If local authorities are given these powers, there needs to be a clear commitment that tourism is a priority, with transparency over how the revenue is reinvested and a consistent approach across the UK.’Tourist tax can have a role to play if it is used as part of a reinvestment cycle to make destinations more attractive. But if it simply adds another business cost, the biggest risk is that it makes the UK less competitive at a time when we need to be doing everything we can to strengthen it.’Giles Fuchs, custodian of Burgh Island Hotel, summed up the discontent clearly: ‘To say that the message from the government is mixed would be the understatement of the year. ‘For Burnham to say he understands the plight of the hospitality industry and reduce the increase in business rates by a fraction, which presumably showed he understood, to then immediately hit the industry with a further cost that will either stop clients coming or, more likely, be absorbed by the industry is a total slap in the face.’