New Zealand to triple tax for foreign tourists, from £16.52 to £47.20
Wednesday, September 4th 2024 - 10:10 UTC
New Zealand will triple its tax for foreign tourists, beginning October first. The cost of the International Visitor Conservation and Tourism Levy will jump to NZ$100 (£47.20) from NZ$35 (£16.52).
Wellington said this is to help economic growth and “ensure visitors contribute to public services and high-quality experiences while visiting New Zealand, according t reports in the NZ media.
However not everybody agrees, Tourism Industry Aotearoa - the country's independent tourism body - says the higher fee is a barrier to visitors, making it incredibly expensive to visit.
“New Zealand’s tourism recovery is falling behind the rest of the world, and this will further dent our global competitiveness,” said Rebecca Ingram, the association's chief executive.
New Zealand first introduced the levy in 2019, as it grappled with the impact of large numbers of visitors on its infrastructure, environment and communities.
During the Covid pandemic, NZ shut its borders for two and a half years and didn't allow foreign visitors to return until August 2022.
The country has been struggling to return to the visitor levels it saw before the pandemic, with just under three million international visitors in 2023, roughly three-quarters of pre-pandemic levels.
Tourism Minister Matt Doocey argued the new tax cost would not be a huge deterrent, as NZ$100 would make up less than 3% of most tourists' average spend in the country.
The tax does not need to be paid by visitors from Australia and the Pacific. Most visitors to New Zealand are from Australia, the United States, China and Fiji.
The increased costs will come on top of separate visa fees for some visitors which are also rising from 1 October. New Zealand is not the only place where tourist taxes exist. Other countries that charge tourists include Indonesia, Spain, France, Austria, Croatia, Costa Rica, Iceland and Italy.
