EDINBURGH – The government of Scotland has approved the imposition of a visitor levy or more commonly called tourist tax that would raise funding for local visitor facilities and services.
In a press release issued on Tuesday, the government said the Visitor Levy (Scotland) Bill will enable local authorities to apply a levy on overnight stays with all money raised to be reinvested in services and facilities largely used by tourists and business visitors.
The authorities highlighted that similar levies already apply in tourist destinations across Europe, including Amsterdam and Berlin as well as in countries outside of Europe, such as Canada.
It has been clarified that councils that want to introduce a visitor levy would first consult local communities, businesses, and tourism organizations.
‘An 18-month implementation period will then apply before any local authorities can introduce a visitor levy scheme in their area. This is to provide adequate time for councils and businesses to put in place the systems needed to collect and administer a levy,’ the press release stated.
Commenting on the development, Investment Minister Tom Arthur said the visitor levy can empower councils to raise funding if they wish to do so, which can be invested in local visitor services and activities.
Meanwhile, Councillor Katie Hagmann, COSLA’s Resources Spokesperson, said the Visitor Levy Bill has now passed through stage 3 in Parliament.
It merits mentioning that the earliest a visitor levy could come into force would be in spring 2026. Moreover, as a result of amendments supported by the Scottish Government at stage 3, the Bill will include an exemption from paying a visitor levy for people in receipt of disability benefits from the UK or Scottish Governments.
The bill will also empower ministers to cap the number of nights to which a visitor levy would apply, after consultation with councils, tourism businesses, and tourism organizations and after Parliamentary approval
The piece of legislation also includes a requirement for any council setting up a visitor levy scheme to establish a visitor levy forum which will discuss and advise the council on matters related to a levy in its area and finally, the legislation also includes a requirement for the Scottish Government to review the Visitor Levy Bill no later than three years after the date of the first scheme coming into effect
