Piccadilly Circus and London's Visitor Bill: A Coming Hotel Levy, a £20 ETA and No VAT-Free Shopping

Piccadilly Circus is where London sells itself. The giant curved screen on the corner, the red buses, the theatres down Shaftesbury Avenue, the shops on Regent Street. It's also a good place to add up what a trip to London now costs a foreign visitor, because three things on that bill have changed.

The screen first. The Piccadilly Lights belong to the property company Landsec and are run by Ocean Outdoor. Since 2017 they've been one curved LED screen of about 783 square metres, billed as Europe's largest single digital screen. From January 2027 the format changes so brands can take over the whole screen for two 60-second slots an hour.

Piccadilly Circus in winter with Christmas decorations strung across Regent Street, the illuminated screens and a red double-decker bus

A winter afternoon at the Circus. Christmas decorations strung across the road between the stone buildings, the screens glowing on the left, a red bus under them. The West End at its most postcard.

What a visitor pays now

Before you land, the UK's electronic travel authorisation. Visa-free visitors, including Americans and EU citizens, need one. It cost £10 at launch, then £16, and since April 8 2026 it costs £20. It's valid for two years.

In the shops, no VAT refund. The UK scrapped tax-free shopping for tourists in January 2021, which made London more expensive than Paris or Milan for luxury buys, since those cities still give non-EU visitors the VAT back. In September the Conservatives promised to bring it back for non-EU visitors if elected. The government hasn't moved, so for now the 20% stays in the price.

At the hotel, a levy is coming. In November 2025 the government announced that England's mayors, London's included, will get powers to charge an overnight visitor levy. The consultation closed in February, and in September the government confirmed the details: a percentage of the room price, with no national cap. Legislation is expected in this session of Parliament. No start date is set.

Is London still worth it?

The UK had about 43.6 million overseas visits in 2025, spending £33.2 billion, both up 2%. People keep coming. The national museums stay free, after the government dropped a plan to charge tourists this autumn. The parks are free. The best views, from Primrose Hill or the Sky Garden, are free.

What's expensive is sleeping, eating and shopping. That's where the levy will land and where the missing VAT refund bites. Plan the free parts, budget for the rest.