How will the upcoming Overnight Visitor Levy affect your roofing business?
The levy would be charged as a percentage of the cost of an overnight stay, rather than as a fixed amount. Importantly for the construction sector, the Government has confirmed that the levy will apply to business travel as well as leisure stays. This means overnight accommodation used by roofing contractors, subcontractors, apprentices, trainees, and project teams working away from home could be subject to the charge where a local authority chooses to introduce it.
The precise rate and implementation arrangements will be decided locally. Mayors and strategic authorities will need to consult residents and businesses before introducing a levy, and the Government is expected to provide further guidance on how the system will operate. Legislation will also be required before the new powers can be used.
What could this mean for roofing businesses?
For roofing contractors working across different regions, the impact could vary depending on where projects are located and whether the relevant local authority decides to introduce a levy.
For businesses regularly sending operatives or project teams away from home, even a relatively small percentage charge could add to the overall cost of accommodation, particularly on longer projects or where several employees are staying away for multiple nights. This could make accommodation costs a consideration when pricing work, preparing project budgets, or deciding how teams are deployed.
The impact could also extend to training and skills development. Roofing businesses may arrange accommodation for apprentices or employees attending training courses, industry events, or specialist training away from their usual place of work. Contractors may therefore want to consider how any future levy could interact with existing travel and accommodation budgets.
The Government has said that accommodation providers will be responsible for paying the levy to strategic authorities and that systems should be designed to keep administration as simple as possible. However, businesses paying for employee accommodation will still need to understand whether the levy is included within quoted accommodation costs, charged separately, or treated differently by individual providers.
There is also a wider consideration for the construction sector. Roofing contractors often operate across local authority boundaries, particularly when working on larger commercial, public sector, or infrastructure projects. A locally determined levy could therefore create differences in accommodation costs between regions.
The Government’s stated intention is for revenue raised through the levy to support local priorities, including investment in infrastructure, public spaces, transport, and the visitor economy. The Government expects Mayors and Foundation Strategic Authorities to set out their spending plans by March 2028.
NFRC wants to hear from members
The details of the Overnight Visitor Levy are still being developed, and it will ultimately be for individual Mayors and strategic authorities to decide whether to introduce one in their area.
NFRC is keen to understand how members think the policy could affect roofing businesses, particularly those with employees or subcontractors regularly travelling for work.
Could an additional accommodation charge affect project costs, workforce planning, training, or where your business takes on work?
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