Edinburgh remains hopeful of becoming a visitor levy frontrunner (Credit: iStock)
Edinburgh council leader Cammy Day hailed it a “momentous day” for the city and its campaign to be given the necessary powers to introduce a levy, the proceeds of which will be ring-fenced for reinvestment in services and facilities.
The country’s capital has long been expected to become the first Scottish destination to take advantage of the new legislation, for which it has been lobbying since 2019.
Scotland’s Visitor Levy Bill, passed on Tuesday (28 May), will allow local authorities to levy a charge on overnight leisure and business stays as a percentage of the overnight cost of accommodation. The Scottish government highlighted similar levies in Europe, such as those in Amsterdam and Berlin.
Authorities will be required to consult with local communities, businesses and tourism organisations before pressing ahead with plans to introduce a levy, which will be subject to an 18-month implementation period to determine how the levy will be administered and collected.
Further work is under way to produce guidance for local authorities seeking to introduce a levy. The Scottish government has confirmed the earliest a levy could come into effect would be spring 2026.
’Huge opportunity’ and ’social sustainability’
Edinburgh has already carried out engagement work with residents, visitors and the industry, with the council planning to put its proposed scheme to councillors in August following further engagement work over the summer. A levy would yet be subject to further public consultation in the autumn.
Council leader Day said he remained hopeful Edinburgh would be among the first cities to implement a levy “to reap the rewards of being one of the world’s most popular” city destinations, which he said would benefit the city and its residents.
“While I’m disappointed the 18-month implementation period remains in place, I do acknowledge the additional preparation time this will provide to the hospitality sector,” said Day.
“We will, of course, continue to work closely with the sector, Visit Scotland and other partners to develop the scheme in the months and years ahead, ensuring we make the very best of this huge opportunity for our city.
“A small overnight charge is common practice in other major cities and destinations, and the introduction of a levy will provide a sustainable funding stream that can support culture in the city and our infrastructure, to the benefit of our visitors and, crucially, the people who live here in our great capital city all year round.”
