Appeal to void the ballot is rejected by Secretary of State.

The UK Government has found in favour of Liverpool’s overnight visitor charge, introduced by the private sector through the city’s Accommodation BID. After a lengthy investigation by the Ministry of Housing, Communities and Local Government, the appeal by Whitbread PLC was rejected, paving the way for the £9m investment for the city across the next two years.

Liverpool’s hotels voted in favour of introducing the overnight visitor levy in May, with it coming into force in June. The alteration ballot introduced a £2 levy on hotel rooms, with the funds raised to be invested in attracting major events like conferences and cultural activity to the city. However Whitbread PLC lodged an appeal asking for the vote to be declared void.

Over seven months, the MHCLG, under which the operation of business improvement districts sits, investigated 11 points raised by the appellants, each of which was rejected by the Secretary of State.

Bill Addy is CEO of Liverpool Business Improvement District

“We are delighted and reassured that Central Government has conducted an in depth analysis of our ballot and has found against the appeal. We work incredibly hard to deliver our work on behalf of our levy payers, and how our ballots are conducted, as laid down by UK legislation. It is vital it is a transparent process as that is what engenders trust and makes business improvement districts a central part of city life and investment.

This visitor charge is an industry led effort to transform the visitor economy and to have a huge impact on how the hospitality sector is supported. It is an innovative private sector strategy to tackle the challenges cities face.

This has been a process entirely guided by the private sector board of hoteliers – who are using Business Improvement District legislation to make a difference for their industry and their city.

The overnight levy has been in place since June, as instructed by Central Government. What this decision means is that we are now able to implement the investment and change for the city in full. As is stated in the business plan, this levy is to help generate more overnight stays. We know those visitors spend more in the visitor economy and hospitality industry. It is about creating a circular and sustainable visitor economy where the private sector is able to have a real say on the positive impact they can have on the city”.

Since June 2025, when the overnight levy was introduced, the collected levy has been held by the local authority. It will now be released to be invested in accordance with the agreed business plan, as published by the Accommodation BID during the successful ballot.

The investment of £9m will go towards a subvention fund, attracting major events like conferences and sporting and cultural activity to drive overnight stays. It will also invest in destination marketing and additional BID services and improving the visitor experience. It is estimated that the investment will have a total economic impact of £220m.

Find out more about the Liverpool Accommodation Business Improvement District Here