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4 new tax ideas that the Welsh Government will explore further.

First published:
28 June 2018
Last updated:

Vacant land tax

Wales needs more housing. Sometimes, land identified as suitable for building is not built on, or is not built on as quickly as needed. This idea will explore whether a new tax to increase the cost of holding vacant land could encourage the building of new homes and increase commercial development.

We will work with people who own or develop land, house builders, local planning authorities, housing associations, and the third sector to ensure the new tax would help build the houses and commercial buildings we need.

Social care levy

Wales has a growing number of older people. We need to consider new and innovative ways of providing social care in the future.

We will explore various options for how we contribute towards paying for the care that we may need later in life. Professor Gerald Holtham's report 'Paying for social care' explores his idea of a levy to fund social care in Wales.

Disposable plastic tax

This idea considers if a tax could change behaviour towards disposable plastic and a range of options will be explored.

The summary of findings to the consultation on the policy design for the UK-wide plastic packaging tax was published in November 2020. We continue to work with the UK government on the implementation arrangements in readiness for introduction in 2022.

We are exploring a Welsh tax on disposable single use cups to reduce their use, encourage re-use, and reduce the litter they can create.

Tourism tax

Wales is a popular tourist destination. This tax idea explores how a small contribution from those visiting could help sustain services which are important to both visitors and the local community. The tax raised could be used to pay for things which make places attractive such as tidy beaches, extra street cleaning and well maintained public toilets.

Further longer-term work will be undertaken to explore a local tourism tax.