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New Zealand is tripling its visitor tax. Here’s how it could impact nature and tourism

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Tourism bodies say the ‘incredibly expensive’ new fee could deter visitors.

New Zealand is nearly tripling its tourist tax to help protect its natural environment and boost public services.

From 1 October, the fee will rise sharply from NZ$35 (€20) to NZ$100 (€56).

This is despite the fact that visitor numbers remain down since the pandemic, with government figures through June showing a recovery of around 84 per cent in 2024 versus the same period in 2019.

After imposing some of the harshest border restrictions in the world, the country emerged cautiously from COVID-19, taking the opportunity to shift to regenerative, sustainable travel.

Aiming to shake New Zealand’s popularity with budget backpackers, its tourism ministry announced plans to focus on higher-spending visitors who stay for longer periods.

Does New Zealand have an overtourism problem?

Before the pandemic, tourism was New Zealand’s largest export industry, employing 8.4 per cent of the country’s workforce and contributing around 6 per cent of GDP either directly or indirectly. In 2023, it was its second largest export.

Between 2016 and 2019, roughly 11 million visitors descended on the island-nation, which boasts a permanent population of just 5 million.

But the country’s popularity takes a toll on its delicate natural environment – one of its biggest draws.

Environmental degradation not only threatens New Zealand’s aesthetic and recreational appeal. It leaves it less resilient to disasters like flooding and wildfires, which the country is increasingly exposed to due to climate change and rural development.

Why is New Zealand increasing its tourism tax?

The higher tourism fees will partly be used to boost conservation initiatives that mitigate the impact of visitors.

New Zealand’s current NZ$35 International Visitor Conservation and Tourism Levy (IVL) was introduced in July 2019 to support the country’s natural heritage and infrastructure.

The flat rate fee must be paid by international visitors applying for an NZeTA (New Zealand Electronic Travel Authority) or tourist visa. Visitors from Australia and many Pacific Islands are exempt.

It has been used to fund projects ranging from habitat creation and pest eradication, to developing sustainable tourism activities and maintaining cycling trails.

However, the government says the revenue it generates – approximately NZ$80 million (€44.8m) – is not sufficient to address issues facing tourism and conservation.

It therefore argues that the increase is reasonable, adding that it puts New Zealand in line with other countries’ charges.

The NZ$100 (€56) fee is far higher than destinations like Bali, which charges IDR 150,000 (€9).

It does fall in line with popular European destinations, however, where a nightly tax is charged. For example, in Barcelona, Spain, visitors will have to pay up to €7.50 a night from October, totalling €52.50 per week.

Will New Zealand’s higher tourism tax deter visitors?

Compared with some other ecologically delicate destinations, New Zealand’s tax will remain relatively low. In August, the Galapagos Islands increased their visitor levy to USD$200 (€184), up from $100 (€92).

“A $100 IVL would generally make up less than 3 per cent of the total spending for an international visitor while in New Zealand, meaning it is unlikely to have a significant impact on visitor numbers,” says Minister for Tourism and Hospitality Matt Doocey.

Yet some tourism bodies fear that the increase could deter visitors. NZ Airports argues it will be “bad for the economy”, while Tourism Industry Aotearoa (TIA) has called it a “barrier making New Zealand incredibly expensive to visit”.

The association points out that the tax hike will enter into force at the same time as New Zealand visitor visa charges rise by 60 per cent, bringing the total cost to enter the country up to NZ$500 (€280).

It warns that this is more than double the cost of visiting Canada and 66 per cent more than Australia.

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  • Daniela Daecher is a twenty-something bookworm and coffee addict with a passion for geeking out over sci fi, tv, movies, and books. In 2013 she completed her BA in English with a specialization in Linguistics. In 2014 she completed her MA in Linguistics, focusing on the relationship between language and communication in written form. She currently lives in Munich, Germany.

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A 4-year cruise or a €1 house in Italy: Inside the schemes helping Americans skip Trump’s presidency

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Searches by Americans for moving abroad soared in the 24 hours after the first polls closed, according to Google data.

Following the recent US election result, Google searches for ‘how to move to Europe’ increased by more than 1,000 per cent in some countries.

Searches by Americans for moving to Canada and Australia soared by 1,270 and 820 per cent respectively in the 24 hours after the first polls closed, according to Google data.

The interest in leaving the States has not gone unnoticed by marketing firms.

A residential cruise ship is now offering Americans a four-year ‘escape’ trip while a Sardinian village has relaunched its €1 house scheme.

Cruise company offers four-year escape from Trump

Cruise firm Villa Vie Residences is marketing a four-year round the world trip to Americans looking to skip Donald Trump’s second term as president.

The Tour La Vie programme offers passengers a stay of up to four years onboard while visiting 140 countries – which doesn’t include the US.

The irreverently named packages include a one-year ‘Escape from Reality’ cruise, a two-year ‘Mid-Term Selection’ option, a three-year ‘Everywhere but Home’ cruise, and the four-year ‘Skip Forward’ trip.

Guests would join the Villa Vie Odyssey, a residential cruise ship which set sail from Belfast in September, several months into its voyage.

“We came up with this marketing campaign before we even knew who would win. Regardless of who would have won, you would have half of the population upset,” CEO Mikael Petterson told US news site Newsweek.

“Quite frankly, we don’t have a political view one way or the other. We just wanted to give people who feel threatened to have a way to get out.”

Prices start at a little under $40,000 (€38,000) a year. For those opting for the full four-year escape, single-occupancy cabins start at $256,000 (€243,000) while double-occupancy costs up to $320,000 (€303,000).

The price includes all food and drinks (alcohol only at dinner), WiFi, medical visits, weekly housekeeping service and bi-weekly laundry.

Sardinian village relaunches €1 house scheme for Americans

In rural Sardinia, the village of Ollolai has revived its €1 house scheme, now targeting Americans exhausted by the election.

The homes-for-the-price-of-an-espresso offer has been relaunched for US citizens “worned [sic] out by global politics” and “looking to embrace a more balanced lifestyle”, local authorities write on the village’s website.

“Of course, we can’t specifically mention the name of one US president who just got elected, but we all know that he’s the one from whom many Americans want to get away from now and leave the country,” village mayor Francesco Columbo told US news site CNN.

“We have specifically created this website now to meet US post-elections relocation needs.”

Those needs include slowing down and recharging with Ollolai’s dreamy Mediterranean lifestyle.

“Nestled in pristine nature, surrounded by incredible cuisine, and immersed in a community with ancient traditions in the rare Earth’s Blue Zone, Ollolai is the perfect destination to reconnect, recharge and embrace a new way of life,” the website claims.

Available properties will soon be listed online with prices ranging from €1 for houses needing substantial renovations to €100,000 for those that are ready to live in.

This is not the first time the village in Sardinia has put houses for a pittance on the market. In a bid to halt a steep population decline, Ollolai began selling off abandoned homes in 2018 to people willing to carry out $25,000 (€24,000) of renovations within a three-year timespan.

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  • Daniela Daecher is a twenty-something bookworm and coffee addict with a passion for geeking out over sci fi, tv, movies, and books. In 2013 she completed her BA in English with a specialization in Linguistics. In 2014 she completed her MA in Linguistics, focusing on the relationship between language and communication in written form. She currently lives in Munich, Germany.

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Catalonia’s holiday rental ban may not be allowed under EU law as Airbnb pushes back

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Catalonia has said they want to rid Barcelona of its 10,000 holiday lets in the next 5 years.

Catalonia’s recent ban on Airbnb-style holiday rentals breaches EU law, according to a complaint filed with the European Commission by an industry group.

The European Holiday Home Association claims that the ban, introduced by Catalonia in June this year, breaches the provision of services directive.

The Spanish region announced that they wanted to rid Barcelona of its 10,000 tourist flat licences over the next five years. The city has not granted new licences since 2014 but this has not helped to stem a housing crisis, with locals saying they can not find places to live at affordable prices.

Why has Barcelona’s Airbnb ban been challenged?

“We are convinced that EU law has not been respected,” Viktorija Molnar, Secretary General of the European Holiday Home Association (EHHA), said in a statement released on Wednesday.

“By submitting the EU complaint, we hope that the European Commission will take a step further and open a formal infringement procedure against Spain,” added Molnar, whose group represents short-term rental platforms like Airbnb and Expedia’s Vrbo.

The move follows legal concerns raised by the European Commission itself that restrictions brought in by the Spanish region were disproportionate to the aim of tackling housing shortages.

EHHA argues that “unjustified, disproportionate and unsuitable” restrictions breach the EU’s Services Directive, which regulates a swathe of activities from hotels to legal advice. They also said that claims about the impact of Airbnb on housing affordability are “politically inflamed”.

The lobby group may have support from the European Commission itself, whose officials wrote to Spanish authorities to protest the law in February according to a document seen by Euronews Travel.

“The Commission services consider that the restrictions laid down in [Catalonia’s] Decree-law 3/2023 are not suitable to attain the objective of fighting housing shortage and are disproportionate to that objective,” the document said.

Spanish authorities could have also considered less swingeing restrictions and hadn’t offered evidence that short-term rentals were responsible for housing market tensions, it added – noting that there were three times as many empty dwellings as tourist rental properties in Catalonia.

Barcelona is just one European holiday destinations trying to find ways to tackle overtourism.

Cities like Venice have banned cruise ships from stopping on their shores, Athens regularly restricts visitor numbers at the famous Acropolis and Amsterdam is moving its red light district out of the city centre to try and clean up its image.

How the European Commission is taking on holiday rentals

Brussels has already taken action to bring the sharing economy within the regulatory fold, offering new rights to platform workers and hiking value-added tax on short-term lets and ridesharing apps such as Uber.

But the issue could prove totemic for Commission President Ursula von der Leyen – who has created the first-ever European Commissioner for Housing as part of her second mandate, set to take office within weeks.

She has told Denmark’s Dan Jørgensen to “tackle systemic issues with short-term accommodation rentals”, in a mission letter that handed him the housing brief alongside responsibility for energy policy.

A spokesperson for the Catalan government did not immediately respond to a request for comment.

CORRECTION(20 November, 10:02): corrects spelling of Molnar’s name

Author

  • Daniela Daecher is a twenty-something bookworm and coffee addict with a passion for geeking out over sci fi, tv, movies, and books. In 2013 she completed her BA in English with a specialization in Linguistics. In 2014 she completed her MA in Linguistics, focusing on the relationship between language and communication in written form. She currently lives in Munich, Germany.

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Microsoft pitches AI agents that can perform tasks on their own at annual Ignite event

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The move has been criticised by other tech companies who have branded Microsoft as being a “panic mode”.

In opening remarks to a company conference in the United States on Tuesday, Microsoft CEO Satya Nadella has set the stage for where the company is taking its artificial intelligence (AI) business.

AI developers are increasingly pitching the next wave of generative AI (GenAI) chatbots as AI “agents” that can do more useful things on people’s behalf.

But the cost of building and running AI tools is so high that more investors are questioning whether the technology’s promise is overblown.

Microsoft said last month that it’s preparing for a world where “every organisation will have a constellation of agents – ranging from simple prompt-and-response to fully autonomous”.

Microsoft elaborated in a blog post Tuesday that such autonomous agents “can operate around the clock to review and approve customer returns or go over shipping invoices to help businesses avoid costly supply-chain errors”.

Microsoft’s annual Ignite conference caters to its big business customers.

Microsoft criticised

The pivot toward so-called “agentic AI” comes as some users are seeing limits to the large language models behind chatbots like OpenAI’s ChatGPT, Google’s Gemini and Microsoft’s own Copilot.

Those systems work by predicting the most plausible next word in a sentence and are good at certain writing-based work tasks.

But tech companies have been working to build AI tools that are better at longer-range planning and reasoning so they can access the web or control computers and perform tasks on their own on a user’s behalf.

Salesforce CEO Marc Benioff has criticized Microsoft’s pivot. Salesforce also has its “Agentforce” service that uses AI in sales, marketing, and other tasks.

“Microsoft rebranding Copilot as ‘agents’? That’s panic mode,” Benioff said in a social media post last month. He went on to claim that Microsoft’s flagship AI assistant, called Copilot, is “a flop” that is inaccurate and spills corporate data.

Author

  • Daniela Daecher is a twenty-something bookworm and coffee addict with a passion for geeking out over sci fi, tv, movies, and books. In 2013 she completed her BA in English with a specialization in Linguistics. In 2014 she completed her MA in Linguistics, focusing on the relationship between language and communication in written form. She currently lives in Munich, Germany.

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