Purra says tourist tax bill will not reach parliament

Finland’s government will not submit its proposed tourist tax bill to parliament, meaning it will not be completed during the current government term, Finance Minister Riikka Purra said, according to Yle.

Purra said on X that Prime Minister Petteri Orpo’s government had failed to reach agreement on the bill. She said the tax had been prepared to address the needs of popular tourist destinations in the Lapland region, including the city of Rovaniemi.

The tax had previously been expected to take effect no earlier than 2027. The draft faced criticism during consultation, with many municipalities expressing doubts. Critics said it could weaken the competitiveness of tourism and that its impact assessments were inadequate.

There were also concerns that the tax could increase accommodation costs and reduce demand. Tourist taxes are used in several EU countries, usually for short-term accommodation; in many countries, the charge is calculated as a percentage.