EDINBURGH is set to become the first council in Scotland to bring in a tourist tax later this month, boosting city coffers by up to £50million.
Plans to introduce the charge – worth five per cent of the cost of a hotel room, B&B, AirBnB or campsite per night – will be voted on by councillors on January 24.
The ‘tourist tax’ could see visitors paying extra on trips to the capital by the next Edinburgh Fringe festival[/caption]
Labour leader of Edinburgh Council, Jane Meagher, said the cash could be the “single biggest injection of new funding this side of the millennium”.[/caption]
In Edinburgh, the tax will apply on all bookings made after May 1 this year, for accommodation stays from July 24, 2026 onwards for up to a maximum of a five-night stay.
Labour leader of the capital’s council, Jane Meagher, labelled the cash the “single biggest injection of new funding this side of the millennium”.
She said: “With income of up to £50 million expected once it is established, the funding could provide Edinburgh with the single biggest injection of new funding this side of the millennium, providing a unique opportunity to further improve and protect all that makes Edinburgh the incredible destination it is today.
“We’ll be able to use funds to help us manage tourism sustainably and boost projects which benefit the experience of visitors and residents.”
“I’m looking forward to working with councillors to agree the scheme this month, which will allow further work to be carried out on the details of Edinburgh’s new levy.”
MSPs passed plans for the so-called “Visitor Levy” in May 2024, giving local authorities the power to impose a charge.
Meetings will be held later this month with plans for the visitor levy are expected to be approved.
Introducing the charge will first come before councillors on the Policy and Sustainability Committee on Friday January 17.
The plan will then go before all councillors for final approval at a special meeting of the council a week later, on January 24.
Holyrood approved legislation giving councils across Scotland the ability to introduce such a charge in May 2024.
Edinburgh Council is proposing a 5% charge, which would be applied to those staying in hotels, bed and breakfasts, self-catering accommodation, and campsites and caravan parks.
Charges would be applied for a maximum of five consecutive nights per person under the plans.
Tourists make an estimated 5.3million overnight trips to the city every year.
In 2023, Edinburgh declared a housing emergency due to the cost of living crisis, and soaring rent, and utility bills.
A number of other Scottish councils have expressed an interest in introducing a ‘tourist tax’ saying they are unable to cope with the increased number of visitors in the local area.
