Planning a trip to Italy? Staying at an expensive hotel could cost you an extra €25 per night in tax

The Italian Government is considering imposing a nightly tax that can go up to €25 per night to address the overtourism problem currently impacting the country.

This tax would be on top of current taxes already in place to combat similar challenges, like the one established in Venice. Similar levies in Rome are higher with the aim of safeguarding the legacy and improving the quality of service when demand is higher.

According to documents seen by the Financial Times, the tax proposal will target travellers who stay at the country’s most expensive hotels.

The tax rate will vary based on the price of the room per night. For instance, travellers booking the cheapest rooms will be charged €5 per night, whereas travellers booking rooms that cost over €750 a night will pay €25 in fees.

A portion of the funds gathered from the tax would be utilised for cleanliness services and to improve garbage collection.

Italian tourism bodies have warned against disincentivising potential visitors and advise for caution.

Barbara Casillo, head of hotel industry representative Confindustria Alberghi told the Financial Times that if the Government scares travellers by giving the impression that they want to take as much money as they can, “they will not be doing a good service to the country.”

This summer Europe has registered high levels of tourism with many countries taking action to mitigate the impacts on the respective populations.

With this in mind, Confindustria Alberghi President Maria Camela Colaiacovo stated that Italy is competing with other European countries and it needs to be careful that its policies do not compromise the competitiveness of its businesses and destinations.

“The sector is making an important contribution to the country’s economy, especially with the growth of international travellers, after the difficult years of COVID-19,”she continued.

The Italian tourism ministry is set to discuss the proposal and any possible amendments with industry bodies in September.