The fee charged to guests staying overnight in a tourist unit or similar in the municipality, aged 16 or over, up to a maximum of five nights, is two euros per day in high season (April to October) and one euro at low prices (November to March), according to regulations approved and published in the Official Gazette.

A source from the local authority told Lusa agency that the municipality expects to raise around 4.6 million euros annually with the new tax, which will be used to invest in “infrastructure, equipment and services that value and guarantee the sustainability of tourist activity”.

The largest municipality in the Algarve will, therefore, join the group of municipalities in the region that receive a fee for overnight stays by tourists in the municipality: Albufeira, Portimão, Lagoa, Vila Real de Santo António, Faro and Olhão.

The municipality of Loulé is home to several nationally and internationally recognised tourist resorts, including Quinta do Lago, Valo do Lobo and Vilamoura.