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Labour’s Bed Tax means higher costs for Kiwis

08 September 2026Simeon Brown

Labour’s Bed Tax means higher costs for Kiwis

Labour’s promised Bed Tax will leave New Zealanders out of pocket for travelling around their own country, National’s Campaign Chair Simeon Brown says.

“Chris Hipkins has again shown Labour’s instinct is to reach for another tax on Kiwis by promising to introduce a Bed Tax on behalf of councils, which would make it more expensive for Kiwis booking accommodation in New Zealand.

“Tourism has been a major success story for New Zealand’s economy under National, with visitor numbers continuing to grow and hot spots like Queenstown pumping with activity.

“We know strong visitor numbers put pressure on regions, whether it’s the cost of attracting events or the strain on basic infrastructure. Councils often have to manage costs of tourism without receiving enough of the direct financial benefit.

“National has a practical solution that supports local communities without putting a new tax on New Zealanders. If re-elected, National will give councils a large and growing share of the revenue from the existing International Visitor Levy. 

“National decided not to introduce a Bed Tax because it cannot be done without increasing costs on Kiwis booking accommodation in their own country.

“Labour’s Bed Tax would hit Kiwis booking accommodation whether it’s sports teams travelling to tournaments, truckies staying a night in a motel, families attending a funeral or parents taking their kids away for the school holidays.

“Regions wouldn’t even get the funds from a Bed Tax until May 2029 at the earliest, while under National’s policy they will get funding starting 1 July 2027.

“The choice at this election is clear. National will deliver no new taxes so New Zealanders can keep more of what they earn, while a Labour coalition would bring at least nine new taxes to fund more spending.”