Devolving the visitor levy to local areas will enable significant investment in the visitor economy, boosting local attractions and tourism businesses, says the LGA.
It follows the Government consulting over proposals for an overnight stay levy in England.
In its consultation response, the LGA has called for funds raised from the levy to be more tightly defined in terms of how they can be spent and reinvested in the visitor economy, and on providing facilities and services for visitors.
It wants councils to be allowed to retain a portion of the funding raised to support services that serve the visitor population, such as parks, waste collections and public toilets, as well as those that will attract more tourists, such as culture, heritage and events.
The LGA says that councillors and mayors should be allowed to jointly decide whether to introduce a levy and be free to adapt its scope and rate to reflect the visitor economy. Where areas choose to implement the levy, councils will consult with local tourism and hospitality businesses.
Cllr Julie Jones-Evans, Chair of the LGA’s Culture, Tourism and Sport Committee, said: “The visitor levy represents an important step in fiscal devolution and giving local areas the powers to raise new income.
“However, it should be down to councillors as well as mayors, as democratically elected representatives, to decide whether to introduce a levy, in consultation with local tourism businesses.”
The LGA’s support for the visitor levy is a majority position. The LGA’s Conservative Group has highlighted its objections to this policy on consecutive occasions.