🎯 STRisker: Bulletin - London, England
London moves tourist tax from debate to active consultation
New Tourist Tax Proposal Emerges for London STRs
London's tourist tax is moving forward. In November 2025, the UK government gave mayors the authority to impose tourist taxes on overnight visitors, aligning London with major European cities that have used these levies for years.
The announcement represents the culmination of growing pressure to address over-tourism. Cities like Barcelona, Paris, and Amsterdam have been successfully operating tourist tax systems for years, generating substantial revenue while managing visitor impacts. Now, London's joining that club.
London's Mayor Sadiq Khan has moved the proposal into active consultation phase. His office confirms discussions are currently underway to determine implementation specifics for the capital. This marks a significant development from Khan's earlier statements expressing general openness to the idea.
Ministry of Housing, Communities and Local Government
New modeling from Central London Forward is providing the framework for these discussions. Their analysis projects a 3% levy on room costs generating over £350 million annually. Westminster's projected £95 million take reflects its concentration of over 10,500 holiday lets, while boroughs like Camden and Tower Hamlets could each raise £20 million yearly.
STRisker Document Analysis
Finding the right compliance documents shouldn’t feel like searching for a needle in a haystack - STRisker’s Documents Analysis is built to simplify your life, offering instant access to hundreds of thousands of documents from thousands of cities across the US.
The development process is looking at proven international models. Paris's system charges up to €16 per night and generates around £240 million annually. Barcelona combines a €4 base rate with regional fees. These established frameworks are informing London's approach, with fees likely landing in the £1 to £5 per night range.
Implementation will require establishing new regulatory frameworks. George Levett from Conveyancing Solicitor explains that development demands "comprehensive coordination between the Greater London Authority, local borough councils, and hospitality stakeholders" to create systems for collection, remittance, and compliance.
Secretary of State Steve Reed framed the development positively: the new powers let mayors "put more money into local priorities." For London's short-term rental operators, tracking this development phase is critical: decisions being made now will define the market's future.
Stay Updated with STRisker
STRisker offers tools and features to keep you updated with the Short-Term Rental movement across the U.S.
👍 We’d love your feedback.
We're always looking for ways to improve Bulletins.
Was this one useful to you? Other topics you'd like to see get covered?
✉️ Just reply directly to this email. We read and respond to every message!
-Will McClure
🙋 P.S.
Know someone else who should be reading this Bulletin? Feel free to forward this along. We want to make sure operators and stakeholders are aware of regulatory changes in their area.