The Labour Party is "considering" imposing a new £12 per night tourist tax on UK stays in order to address a budget shortfall, which may put British vacationers' hopes in jeopardy. A policy that may boost the Treasury's revenues by a cheeky estimated £1 billion, the new levy could potentially charge holidaymakers from those looking for a staycation fix to those visiting from abroad an extra pound at their camping plots to an eye-watering £15 add-on at expensive five-star getaways.

And when probed about the whispers of this fresh fee, the Treasury said: "We do not comment on tax speculation outside of fiscal events." Looks like both Brits and international guests will be coughing up for this potential tax pinch.

Top hotel boss Sir Rocco Forte didn't mince his words on the matter, chiming in with a stark rebuke: "Travel and tourism is one of the most vital parts of the UK's economy, contributing over £250billion a year to the UK's GDP and supporting 3.5million jobs."

He didn't stop there, criticizing what he described as a "harmful new tax added on top of existing taxes. The UK is already an expensive destination," the industry leader remarked, reflecting concerns from the hospitality sector, as reported by Birmingham Live.

Meanwhile, the TaxPayer's Alliance highlights the potential for this bold measure to generate billions in revenue annually.

A Treasury insider revealed that the Chancellor has requested an economic and fiscal forecast from the OBR, scheduled for March 26, to assess whether fiscal targets are being met. "Tough decisions have already been made regarding spending," the Treasury source stated, adding that funds will be directed toward the PM's Plan for Change, which aims to "stimulate growth and increase income for working people."

This news drops just as Chancellor Rachel Reeves is due back at the Treasury after her trade jaunt to China, with the markets gearing up for a fresh start following last week's punishing bond market turmoil and some crucial economic updates on inflation and growth on the horizon.