The Government of Barbados has announced that the Vehicle Rental Levy will take effect from October 15th, 2025. When the Levy was originally announced, the rate was set at $10 per day. However, the government has announced that the rate of the Levy will be $5 per day, up to a maximum of 7 days. This means the Levy will be capped at $35 per rental agreement, regardless of the length of the contract.
Once the Levy comes into force, visitor pemits will be abolished, but a valid domestic or foreign driving licence will still be required to drive in Barbados.
Please note the Levy will apply to both visitors and residents alike, whether they have a domestic or foreign driving licence, if they are renting a vehicle.