Big changes are coming: Orbán cabinet presents a deregulation package for tourism

National Economy Minister Márton Nagy held a press conference on Monday to present a 16-point deregulation package drafted with the Hungarian Tourism Agency.

Nagy said the package had been put together by the Tourism Consulting Body, a group of industry insiders recently established to advise the government on tourism policy. He added that the goal of the package was to reduce red tape and boost the sector’s competitiveness.

He said the package would regulate short-term rentals in the capital, cap service fees, establish rules for guided tours, and give the SZEP voucher card a digital upgrade. He added that the carbon tax on airlines is also expected to be phased out.

Nagy said the tourism sector was “performing very well,” generating 12 percent of the GDP and over 10 percent of tax revenue, Index noted.

He said short-term, Airbnb-type rentals would be regulated only in the capital, adding that the government agreed with the industry insiders on applying a moratorium on the issue of new homestay permits while raising taxes on the activity.

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He said converting rural buildings, such as barns and wineries, into tourism accommodations could boost village tourism.

The package would increase the police presence in Budapest’s “party district”, raising the number of officers on patrol from 48 to 58 and establishing an independent police station there.

It would ease rules on swimming pools at tourism accommodations, eliminating the requirement for a lifeguard for pools with a capacity for fewer than 20 people.