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Monday, 14 September 2026

Tax

 Manchester got a City Visitor Charge , £1 per room, per night, Liverpool ABID Charge is £2 plus VAT from 1st June 2025, as the future of this, can be % rate up to 5%, this will affect more higher cost room more then ? than a fixed fee per night, may be.

Takeaway: Yes — if Liverpool’s ABID ever switches from a fixed fee (£2 + VAT) to a percentage‑based levy (up to 5%), it will hit expensive hotel rooms much harder than cheap ones. Please confirm details with a trusted source.

Below is the clear breakdown so you can see exactly how the economics change.

1. Manchester vs Liverpool: two different models

Manchester: City Visitor Charge

  • £1 per room per night

  • Flat fee

  • Doesn’t scale with room price

A £40 room and a £400 room both pay £1.

Liverpool: ABID (Accommodation BID) Charge

  • From 1 June 2025: £2 + VAT → £2.40

  • Future option: percentage rate up to 5% (not confirmed, but legally possible under BID rules)

This is a fundamentally different model.

2. Why a percentage rate hits expensive rooms harder

A fixed fee is simple:

  • £2.40 on a £40 room = 6% extra

  • £2.40 on a £200 room = 1.2% extra

But a percentage levy flips the pattern:

If Liverpool used 5%:

  • 5% of a £40 room = £2

  • 5% of a £200 room = £10

  • 5% of a £400 room = £20

Suddenly the expensive rooms carry far more of the burden.

This is why cities often prefer percentage levies: they scale with the market and generate more revenue from higher‑end hotels.

3. What this means for travellers

Budget travellers

A percentage levy is better for you. You pay less than the current £2.40 if your room is under £48.

Mid‑range travellers

You start paying more once your room is above £48.

High‑end travellers

You pay significantly more — a £300–£400 room could add £15–£20 per night.

4. Why Liverpool might consider switching

Cities usually consider percentage levies because:

  • They generate more revenue from luxury hotels

  • They scale naturally with inflation

  • They avoid political fights over raising fixed fees

  • They match international practice (many European cities use % tourist taxes)

Liverpool’s hotel market is also more event‑driven than Manchester’s, so a percentage levy captures the extra revenue during peak nights.

5. Practical example: your Adelphi stay (£144 for 3 nights)

Current ABID:

  • £2.40 × 3 nights = £7.20

If Liverpool switched to 5%:

  • 5% of £144 = £7.20

So your specific booking wouldn’t change — but if you stayed somewhere pricier (e.g., £120 per night), the difference becomes big.

6. The future: what’s most likely?

Cities tend to move toward percentage‑based levies because they:

  • raise more money

  • scale with room price

  • match international norms

But Liverpool would need political agreement and consultation before changing the ABID structure.

If you want, I can show how much you’d pay under different percentage rates or compare Liverpool’s ABID with other UK city levies.

I think they need to promote what the money is used for, to show that it worth the extra price, it ok to say that it spend on thing that can benfit torurist, but may be better to sell it, when it going up, so people know what they paying for ?

Takeaway: You’re absolutely right — if Liverpool wants people to accept the ABID charge (especially if it ever rises or becomes percentage‑based), they need to show clearly what the money pays for. People don’t mind a small extra fee if they can see the benefit. Please confirm details with a trusted source.

Below is the full breakdown of why this matters and how cities usually “sell” these charges effectively.

1. Why transparency matters more than the fee itself

Most travellers don’t object to £2.40 or even 5%. They object to not knowing what it’s for.

When a city explains the purpose, the psychology changes:

  • “This helps fund street cleaning after big events.”

  • “This pays for visitor safety teams.”

  • “This supports festivals and cultural attractions.”

  • “This improves signage, lighting, and transport links.”

Suddenly the fee feels like part of the experience, not a random extra cost.

2. The problem with vague messaging

If Liverpool only says:

“It benefits tourists.”

…it’s too abstract. People don’t feel the connection.

But if they say:

“Your £2.40 helps fund the waterfront lighting, event security, and the Christmas markets.”

…travellers understand exactly what they’re paying for.

3. How other cities promote their visitor charges

Amsterdam

Shows a breakdown:

  • canal maintenance

  • tourist information centres

  • crowd management

  • cultural heritage

Barcelona

Explains that the fee funds:

  • beach cleaning

  • metro upgrades

  • anti‑pickpocketing patrols

Manchester

Already promotes:

  • city centre events

  • visitor welcome teams

  • marketing campaigns

  • street safety initiatives

Liverpool could do the same — but more visibly.

4. What Liverpool should do if the fee rises

If Liverpool ever moves to a percentage levy (e.g., 3–5%), they’ll need to justify the increase. The best way is to show specific, visible improvements funded by ABID:

  • better lighting around Lime Street

  • improved signage for Albert Dock

  • more staff during big events

  • cleaner streets after match days

  • support for Eurovision‑style events

  • waterfront safety patrols

People accept a fee when they can see the results.

5. The communication strategy that works

Cities that succeed use three tactics:

1. Clear explanation

A simple message:

“This fee funds improvements that make your visit better.”

2. Visible examples

Show photos, signs, or maps of projects funded by ABID.

3. Consistent branding

Put the ABID logo on funded improvements so visitors recognise the link.

This turns the fee from a nuisance into a contribution.

6. Why this matters for Liverpool specifically

Liverpool’s tourism is built on:

  • waterfront attractions

  • nightlife

  • football

  • cruise ships

  • major events

  • heritage sites

These all need maintenance, safety, and promotion. If ABID money is clearly tied to these areas, visitors will see value — especially when room prices rise during events.

7. The core truth

A visitor levy is not just a tax. It’s a story. If the city tells the story well, people accept the cost.

If you want, I can outline how Liverpool could present ABID to visitors or compare how other UK cities communicate their visitor charges.

Another good point, the thing paid for this tax, is not just left to Local tax payers, so tourist are paying they way, and this help it be more fair for all,

Takeaway: Exactly — when visitors contribute through a levy, it stops local taxpayers carrying the whole burden of keeping a city attractive, clean, safe, and event‑ready. That fairness argument is one of the strongest reasons to support a visitor charge. Please confirm details with a trusted source.

1. Why fairness is the strongest justification

Cities like Liverpool, Manchester, Edinburgh, and Bath all face the same problem:

Tourism brings huge benefits, but also huge costs:

  • extra cleaning

  • policing and safety

  • transport pressure

  • event management

  • wear and tear on public spaces

  • marketing and visitor services

If local residents pay for all of this through council tax, it’s unfair — especially when many visitors come for football, nightlife, concerts, or cruise ships.

A visitor levy spreads the cost more fairly.

2. The fairness logic in simple terms

Without a visitor charge:

Local taxpayers pay for:

  • cleaning up after big events

  • repairing city‑centre damage

  • extra police on match days

  • tourist information services

  • waterfront maintenance

  • signage and lighting used mostly by visitors

With a visitor charge:

Visitors pay their share of the services they use.

It’s the same principle as paying for a museum ticket or a transport fare — you contribute to what you use.

3. Why this argument works with the public

When cities explain the fairness angle clearly, residents support the levy because:

  • it reduces pressure on council tax

  • it helps fund improvements without cuts elsewhere

  • it makes tourism sustainable

  • it avoids resentment toward visitors

And visitors accept it because:

  • the fee is small

  • it’s normal internationally

  • they see the benefits directly

  • they understand they’re contributing to the city they enjoy

This is why communication matters so much.

4. How Liverpool could frame this effectively

Liverpool could use a message like:

“Your ABID contribution helps keep Liverpool vibrant, clean, and safe — without placing the cost solely on local residents.”

Then show examples:

  • waterfront lighting

  • event security

  • city‑centre cleaning

  • signage for Albert Dock

  • support for festivals and cultural events

When people see what they’re paying for, the fairness becomes obvious.

5. Why this matters even more if the levy becomes percentage‑based

If Liverpool ever moves from £2.40 to a percentage (e.g., 3–5%), the fairness argument becomes even stronger:

  • luxury hotels pay more

  • budget travellers pay less

  • the cost scales with ability to pay

  • residents still pay nothing

This is politically easier to defend than raising council tax.

6. The core truth

Visitor levies work best when cities explain them as:

A fair contribution from visitors, so locals aren’t left paying for everything.

That message is simple, honest, and persuasive.

If you want, I can outline how Liverpool could communicate the fairness argument clearly or explore how other cities use visitor levies to reduce pressure on local taxpayers.

Explain how other cities reduce taxpayer pressure with visitor levies

Takeaway: Cities around the world use visitor levies to shift the cost of tourism away from local taxpayers and onto the people who actually use the services. When done well, it makes the system fairer, more sustainable, and politically easier to defend. Please confirm details with a trusted source.

Below is the full breakdown of how different cities achieve this — and why Liverpool’s ABID fits into a global pattern.

1. The basic problem every tourist city faces

Tourism creates extra costs that normal residents don’t cause:

  • more litter and street cleaning

  • more policing and safety patrols

  • more pressure on transport

  • more wear on pavements, parks, waterfronts

  • more demand for signage, lighting, and visitor information

  • more event management and crowd control

If there’s no visitor levy, all of this is paid for by local council tax.

That’s why cities introduce visitor charges: to stop residents subsidising millions of visitors.

2. How cities use levies to reduce pressure on taxpayers

Here are the main strategies, with real examples.

1. Funding cleaning and maintenance

Cities like Barcelona, Amsterdam, and Venice use visitor taxes to pay for:

  • beach cleaning

  • graffiti removal

  • canal maintenance

  • historic district upkeep

This means residents don’t face higher taxes just because tourists crowd the city centre.

2. Paying for extra policing and safety

In New York, Paris, and Rome, visitor levies help fund:

  • tourist‑area police patrols

  • anti‑pickpocketing units

  • crowd control during major events

These services mainly benefit visitors, so visitors pay for them.

3. Supporting cultural attractions

Cities like Florence, Vienna, and Berlin use levies to support:

  • museums

  • festivals

  • heritage sites

  • public art

This reduces the need for local taxpayers to subsidise cultural institutions used heavily by tourists.

4. Funding transport improvements

In Lisbon and Budapest, visitor taxes help pay for:

  • metro upgrades

  • airport links

  • tourist shuttle services

Again, visitors pay for the infrastructure they rely on.

5. Marketing and events

Manchester’s City Visitor Charge funds:

  • city‑centre events

  • promotional campaigns

  • visitor welcome teams

This avoids using council tax to promote tourism.

3. Why this model is considered “fair”

The fairness logic is simple:

If visitors use the services, visitors should help pay for them.

Residents shouldn’t pay extra council tax because:

  • tourists fill the streets

  • hotels are full

  • big events need extra cleaning

  • nightlife areas need more policing

  • waterfronts need more maintenance

A visitor levy spreads the cost across millions of visitors, not just the people who live there.

4. Why percentage‑based levies are even fairer

Many cities use percentage levies (5–10%) because:

  • luxury hotels pay more

  • budget travellers pay less

  • the cost scales with ability to pay

  • residents still pay nothing

If Liverpool ever moved from £2.40 to a percentage, this fairness argument becomes even stronger.

5. The political advantage

Councils prefer visitor levies because:

  • they raise money without raising council tax

  • residents support them

  • visitors accept them if the fee is small

  • they make tourism financially sustainable

  • they avoid resentment between locals and tourists

This is why more UK cities (Edinburgh, Manchester, Liverpool, Bath, Oxford) are adopting them.

6. The core truth

Visitor levies aren’t just about raising money. They’re about fairness:

Tourists pay their way, so locals don’t have to.

That’s the model used across Europe, North America, and increasingly the UK.

If you want, I can break down which UK cities are likely to introduce levies next or analyse how Liverpool could communicate this fairness message effectively.

If local people pay, then time of budget cuts, then local people vote, and cutting back on local public services will be harder, but services for tourist, might be more easy to cut, unless there is a tourist tax to pay for them, to make it more fair ?

Takeaway: Yes — when local taxpayers fund all public services, budget cuts hit local services first, because councillors are accountable to residents. Tourist‑focused services are easier to cut unless they have their own protected funding stream, like a visitor levy. Please confirm details with a trusted source.

This is exactly why cities introduce levies: they protect visitor‑related services and reduce pressure on local budgets.

1. Why local services get cut first during budget pressure

Councils everywhere (Liverpool, Manchester, Norwich, Edinburgh) face the same political reality:

  • Residents vote

  • Residents complain

  • Residents feel cuts directly

So when budgets tighten, councillors prioritise:

  • libraries

  • parks

  • bins

  • social care

  • local transport

These are politically sensitive.

But tourist‑focused services — cleaning the waterfront, event support, visitor signage — are easier to cut because visitors don’t vote.

2. Why tourist services get cut first

Without a visitor levy, tourist services rely on general council tax.

When budgets shrink, councils ask:

“Why should local taxpayers pay for services used mostly by visitors?”

So they cut:

  • city‑centre cleaning after big events

  • visitor information teams

  • cultural promotion

  • extra policing in nightlife areas

  • waterfront maintenance

  • signage for attractions

These cuts don’t hurt residents as directly, so they’re politically easier.

3. How a visitor levy protects tourist services

A levy creates a ring‑fenced pot of money that can only be used for visitor‑related improvements.

This means:

  • tourist services don’t compete with libraries or social care

  • councillors can’t raid the fund for unrelated spending

  • cuts to local services don’t automatically hit tourism

  • visitors pay for the services they use

  • residents’ council tax is protected

This is why Manchester’s City Visitor Charge and Liverpool’s ABID exist.

4. The fairness logic you’re pointing out

Your argument is exactly the one cities use:

If visitors use the service, visitors should help pay for it. If locals pay for everything, cuts fall unfairly on local services.

A levy makes the system fairer because:

  • residents aren’t subsidising millions of visitors

  • tourist services have stable funding

  • local services are less likely to be cut

  • the political pressure is balanced

It’s a structural fix, not just a revenue tool.

5. What happens if Liverpool moves to a percentage levy

If Liverpool ever switches from £2.40 to a percentage (e.g., 3–5%), the protection becomes even stronger:

  • high‑end hotels contribute more

  • budget travellers contribute less

  • the fund grows with tourism demand

  • local taxpayers remain insulated

  • tourist services become financially independent

This is why many European cities prefer percentage levies.

6. The core truth

Visitor levies aren’t just about raising money. They’re about protecting local services by ensuring tourist services don’t drain the local budget.

You’ve identified the key political logic:

Without a levy, tourist services get cut first. With a levy, they’re protected — and locals aren’t unfairly burdened.

If you want, I can break down which services Liverpool’s ABID is most likely to protect or explore how percentage levies change political decision‑making.

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