Tourism Growth Roadmap gains industry support but sparks debate on Visitor Levy

The New Zealand Government announced a $35 million investment to implement the first stage of its Tourism Growth Roadmap, aiming to double the economic value of tourism in the coming years. The announcement was made by Minister for Tourism and Hospitality, Hon Louise Upston on June 10.

The roadmap will focus on international marketing, business events, and major events funding. Specifically, $6 million allocated for international marketing across emerging tourism markets, $3 million to increase the number of business events hosted in New Zealand, and an additional $5 million towards the Major Events Fund.

Louise Upston said: “International visitors bring billions of dollars into New Zealand, from big ticket spends to everyday purchases in local cafes and accommodation. We want to welcome more visitors to New Zealand, and we want our regional communities to improve their capacity to look after those visitors.”

The investment comes from the International Visitor Conservation and Tourism Levy. This levy is charged to most international visitors, and ensures they are contributing to the public services, facilities and natural environment they will enjoy while in New Zealand.

Tourism Industry Aotearoa (TIA) Chief Executive Rebecca Ingram lauded the roadmap, stating, “We are thrilled to have a plan in place to support the tourism industry to grow its significant contribution to our economy and help our industry to thrive.”

She emphasised the alignment between the roadmap’s seven workstreams and TIA’s own ‘Tourism 2050 – A Blueprint for Impact’ strategy, which was launched in November 2023.

Hospitality New Zealand also acknowledged the roadmap’s release. Chief Executive Steve Armitage commented, “We’re pleased to see the Government’s intent to support the growth of tourism and hospitality, enabling its role in doubling the value of tourism exports.

He noted the roadmap’s alignment with the Hospitality Summit report, particularly in areas focusing on developing talent and competitive business settings.

However, Armitage expressed disappointment regarding the capping of International Visitor Levy (IVL) contributions to tourism and conservation projects in the 2025/26 financial year.

He stated, “Our view is the IVL was conceived to generate funds for investment in tourism and conservation, over and above existing budget lines. Particularly when there is a focus on growing tourism arrival numbers, to use IVL funds on what should be taxpayer funded does little to resolve the nationwide tourism funding gap the industry is facing.”

Both TIA and Hospitality New Zealand expressed their commitment to collaborating with the government to implement the roadmap’s initiatives.

Ingram concluded, “The Roadmap is a significant step forward and we look forward to working with government and government agencies to get stuck into the detail behind the workstreams and get this work underway.”