Hong Kong recorded a 12 percent increase in visitor arrivals in 2025, reaching nearly 50 million, as the city’s tourism sector continued to recover, Secretary for Culture, Sports and Tourism Rosanna Law Shuk-pui said.
Law said both average hotel occupancy rates and overnight visitor numbers rose by about 2 percent and 6 percent respectively compared with 2024. She added that the hotel accommodation tax (HAT), introduced at the start of 2025, has had little impact on tourists’ willingness to visit the city.
According to data from the Hong Kong Tourism Board, however, both the average length of stay and per capita spending by Mainland visitors declined last year, prompting some hotels to adjust their business models or consider alternative uses.
In response, lawmaker Alan Chan Chung-yee, chief operating officer of Miramar Group, questioned whether the government should consider freezing the HAT until demand for hotel rooms increases.
Law said that as of the end of February 2026, Hong Kong had 333 hotels providing a total of 93,481 rooms, with supply continuing to grow year on year. For 2025, the average occupancy rate stood at about 87 percent, rising to around 90 percent during the Mainland Chinese New Year Golden Week in February.
She said the tourism sector has continued to perform well in 2026, with visitor arrivals exceeding 14.31 million in the first three months, up 17 percent year on year. Full-year arrivals are projected to reach about 53.8 million, an increase of roughly 8 percent from 2025.
Law also said the hotel accommodation tax provides a stable source of government revenue without affecting ordinary residents. The tax is expected to generate about HK$770 million in 2025–2026 and HK$800 million in 2026–2027.
The government currently has no plans to freeze the tax or adjust its rate.
