The New Zealand government has announced that the International Visitor Conservation and Tourism Levy (IVL) will be increased to 100 NZD from 1 October 2024. This tourism levy must be paid along with the NZeTA fees, New Zealand's digital travel authorisation.
International Visitor Conservation and Tourism Levy
The International Visitor Conservation and Tourism Levy is a tourism tax levied by the New Zealand government to fund sustainability projects. These include projects that protect New Zealand's natural heritage or improve the country's infrastructure. To make sure that not only New Zealanders face these costs, international travellers have to pay a tourist tax. New Zealand authorities argue this would be a fair compromise because tourists, just like New Zealand residents, use the country's infrastructure and can enjoy the natural beauty of the country.
Almost all international travellers have to pay the International Visitor Conservation and Tourism Levy. Only travellers transiting in New-Zealand are exempt. Citizens and residents of New Zealand and Australia, diplomats and residents of some Pacific islands are also exempt.
Paying the IVL while applying for the NZeTA
You must pay for the cost of the International Visitor Conservation and Tourism Levy while applying for a visa or NZeTA. The NZeTA is a mandatory travel authorisation for travellers from countries exempted from the New Zealand visa requirement, which includes the UK and Ireland. Applying for an NZeTA is easier, faster and cheaper than applying for a New Zealand visa. You can do the NZeTA application entirely online. After the NZeTA is granted, it is automatically linked to the traveller's passport.
The IVL fee must be paid at the same time as the cost for the NZeTA. When you apply via e-Visa.co.uk, the mandatory fee for the tourist tax is included in the total price. You can safely pay for these fees via creditcard, PayPal, Trustly, Google Pay or Apple Pay.
Review of the IVL
The New Zealand Ministry of Business, Innovation and Employment has conducted a public survey on possible changes to the International Visitor Conservation and Tourism Levy. The ministry received more than 1,100 responses to the survey. 88 per cent of respondents stated that the current income from the International Visitor Conservation and Tourism Levy is insufficient and that more funding is needed for nature conservation and tourism. More than 90 per cent of participants felt that the International Visitor Conservation and Tourism Levy should be increased to cover the cost of tourism.
Increased costs in several areas
The tourist tax is currently 35 NZD (about 16 GBP) per person. Starting from 1 October, travellers will have to pay a fee of 100 NZD (about 46 GBP). The amount of the IVL will all but triple. Not only the International Visitor Conservation and Tourism Levy will be increased. New Zealand authorities previously announced that the cost of various visas will increase from 1 October. Tourists and other visitors will therefore be faced with higher costs in several areas.
Criticism of the price increase
While a large majority of those surveyed in New Zealand are in favour of increasing the International Visitor Conservation and Tourism Levy, there is also a lot of discontent in the country over the tourist tax hike.
The Tourism Industry Aotearoa (TIA) has expressed disappointment with the measure. The tourism industry association argues that the price increase could severely damage the country's international competitiveness and could create a significant barrier for travellers wishing to visit the country. The International Air Transport Association (IATA) also expresses concerns about the IVL increase. The New Zealand aviation market is recovering much more slowly since the covid pandemic compared to the aviation market in countries such as Australia, Canada and the United States. The measure is expected to make the country even less attractive to travellers.
New Zealand Tourism Minister Matt Doocey expects that the tourist tax increase will have little effect on the number of international travellers visiting the country. According to the minister, the fee of 100 NZD is still less than 3 per cent of total tourist spending. A higher IVL fee should therefore not deter travellers from visiting New Zealand.