February 19 2026

Coach operators have today called for every penny raised by visitor levies in English towns, cities and destinations to be pumped back into improving tourism facilities.

The Confederation of Passenger Transport, which represents 800 coach operators and suppliers, has called for any such levies to be “simple, limited and hypothecated”, with proceeds spent on improving the visitor experience rather than filling councils’ other budgetary shortfalls.

In the 2025 Budget, Chancellor Rachel Reeves proposed new powers for Mayoral Strategic Authorities to create overnight visitor levies.

Responding to a consultation on the policy, CPT has urged moderation in imposing levies – pointing out that coach holiday customers, in particular, are highly sensitive to price, with even small increases felt in the pocket.

Revenue raised by levies, CPT argues, ought to directly benefit visitors footing the bill, with an ultimate goal of encouraging more tourists and greater levy returns.

For the bus and coach sector, such investment should include investing in improved pick-up and drop-off points for coaches – including stations and shelters with facilities for drivers and passengers. Or it could be spent on zero-emission infrastructure to support the proliferation of cleaner vehicles.

Coaches account for 450 million journeys each year in Britain – equivalent to 40% of all trips taken by train. A study by KPMG for CPT in 2024 found that coach passengers in England generate £1.5 billion annually of domestic spending on overnight trips.

A typical coach tourist on an overnight visit spends an average of £124 in the local economy. A single 65-seater coach generates more than £8,000 of value for local businesses at a destination. And a coach arriving in a destination every day for a year can contribute £1 million to the local economy.

 Alison Edwards, Director of Policy and External Relations at CPT, said: “The fundamental principle should be that visitor levies build, rather than damage, the tourist economy. Every penny raised should be spent on enhancing the visitor experience – which will, in turn, generate more tourists and boost the local economy.

“Coach passengers aren’t made of money. Tourists must not be milked as cash cows to fill local authority budget gaps. Mayors may well see this as an opportunity – but they must proceed with care to avoid undermining the competitiveness of English domestic tourism.”

CPT operates a ‘Coach Friendly’ scheme awarding designation to towns, cities and destinations with appropriate facilities for coach visitors. CPT has urged all authorities choosing to introduce levies to liaise on achieving Coach Friendly status.