If the tax goes ahead, the charge would apply to anyone staying in commercially let accommodation, including AirBnB properties and holiday cottages.

The preliminary tax revenue estimates from applying a flat tourism tax for Wales at a national level range from £14m to £113m depending on the type of tax policy and the level of the tax.

The consultation proposes various options for setting the levy, including a per night, per room/accommodation levy; a per person, per night levy or a percentage of the accommodation costs. There is no detail about the likely rates of tax to be collected, but one example in the consultation proposes a £1 levy on a £25 per night accommodation charge would be equivalent to a 4% tax rate.