Regional Tourism New Zealand (RTNZ) is urging all political parties to commit to supporting accommodation levy legislation – and join the many economically prosperous nations where visitors contribute directly to the communities they enjoy.
In its formal policy position on the national levy released today, the regional tourism peak body, outlined how a national charge on short-term visitor accommodation could unlock sustainable, place-based funding for New Zealand’s regions, without adding to either tax or ratepayers’ bills.
Andrew Wilson, Chair of RTNZ said the levy was both a proven and fair opportunity to build a stronger, more sustainable visitor economy.
Internationally we know an accommodation levy works better, for visitors, communities, and for the businesses that depend on tourism. Done well, it creates a direct link between visitor spending and investment in the destinations we all love.
“An accommodation levy gives us the tools to invest in the places visitors come to experience - the infrastructure, the events, the amenities that make New Zealand destinations world-class. This is about enabling communities to grow tourism well and giving the industry a sustainable foundation to build on.”
— Andrew Wilson, Chair, Regional Tourism New Zealand
WHAT RTNZ IS CALLING FOR
- A levy, not a tax. Visitors pay a user charge as they go. Not part of your annual rates bill.
- An “and”, not a replacement. Revenue must add to, never replace, existing council investment in tourism.
- Money back to where it’s earned. Funds return to the region of collection, with legislative guardrails.
- Everyone pays, including short-term rentals. Apply the levy across all accommodation types and establish a National Short-Term Rental Accommodation Register with urgency.
- A meaningful rate, set by evidence. Set a meaningful contribution in line with international best practice - and review the rate over time.
- Ring-fenced and accountable. Hypothecated to tourism, reported in Long-Term Plans, governed independently.
THE CASE FOR ACTION
Tourism generates jobs, supports local businesses and funds community amenities across New Zealand, yet the infrastructure that underpins the visitor economy is increasingly funded by councils, of which financial pressures are higher than ever.
New Zealand has fallen behind comparable destinations in Australia, Canada, Europe and the US, all of which have established an accommodation levy. Taking forward national legislation is the only workable path: voluntary approaches produce a patchwork of inconsistent charges and undermine the hypothecation principle. The cost of further delay falls on ratepayers and the communities that host visitors.
RTNZ is also calling for a National Short-Term Accommodation Register to be progressed alongside levy legislation. The two measures are designed to work together, ensuring the levy applies fairly across all accommodation stock. RTNZ recommends the Inland Revenue Department as the most efficient collection vehicle, using its existing GST infrastructure.
NOTES TO EDITORS
- RTNZ’s full policy position paper on the Accommodation Levy is available here.
- RTNZ represents New Zealand’s 31 Regional Tourism Organisations (RTOs).
- International comparisons: accommodation levies are standard across Australia, Canada, Europe and major US cities.
- Major short-term rental platforms already collect and remit GST in New Zealand, demonstrating the feasibility of digital collection.
ABOUT RTNZ
Regional Tourism New Zealand (RTNZ) is a membership organisation. RTNZ’s role is to represent the Regional Tourism Organisations throughout Aotearoa New Zealand. RTNZ advocates for the interests of RTOs and regional tourism, fosters collaboration across the network and system, and works towards sustainable growth and prosperity of tourism in our regions.
Tourism happens at place and RTOs are core to delivering it. RTOs play an invaluable role in the development of their regions, taking a holistic approach to planning for and sustainably growing the visitor economy. They are the organisations tasked with managing tourism and its opportunities and impacts for the benefit of their communities and marketing the destination to build the visitation and the experiences available to visitors (and locals) in that region in a sustainable way. This translates into greater prosperity for all.