Welsh Government has commissioned three research projects into a potential tourism tax for Wales.
Labour and Plaid Cymru are pressing on with a consultation on the proposal to allow individual local authorities to introduce a levy on visitors - most commonly imposed on nights spent in hotels, B&Bs or self catered holiday lets.
They have come under fire from the sector and Welsh Conservatives for the move to add taxes to the sector, particularly as it follows the pandemic and given the current cost of living crisis that is affecting households and businesses. They say it will damage the sector and lead to job losses.