Edinburgh tourist tax: Businesses and visitors urged to take part in consultation on council's plans

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Businesses and members of the public have four weeks left to give their views on Edinburgh’s plans to introduce a 5 per cent levy for overnight stays on visitors which could raise £50 million a year to be reinvested in the city.

The city council said more than 3,000 people had already taken part in its consultation on the visitor levy proposals, with the vast majority of responses coming from supportive Capital residents.

Edinburgh is expected to be the first city in the UK to introduce a tourist tax.  Picture: Lisa Ferguson.Edinburgh is expected to be the first city in the UK to introduce a tourist tax.  Picture: Lisa Ferguson.
Edinburgh is expected to be the first city in the UK to introduce a tourist tax. Picture: Lisa Ferguson.

However council leader Cammy Day urged Edinburgh-based businesses to offer their views before the consultation closes on December 15. Speaking to industry representatives at a business briefing, he encouraged them not to miss out on “a chance to shape this historic opportunity for Edinburgh”.

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He also hopes to receive more responses from visitors to Edinburgh and the city’s youngest and oldest residents - those aged 16 - 24 and those 75 and over.

Edinburgh’s visitor levy is expected to be the first to launch in the UK with an expected start date of July 24, 2026.

It will apply to paid-for accommodation including hotels, short-term lets, hostels and bed and breakfasts, but excluding campsites.

The revenue generated will be reinvested in initiatives which the council says will benefit residents and enhance visitor experiences, including a ‘Well Kept City Fund’, affordable housing, city infrastructure, destination marketing and support for major events and festivals.

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The council has calculated that, if set at 5 per cent and capped at seven nights in a row, as proposed, it would raise £100 million by 2030.

Councillor Day said: “We already know from the huge amount of engagement we’ve previously carried out that the introduction of a levy has overwhelming support here in Edinburgh. This is echoed loud and clear in the fantastic consultation response we’ve had so far.

“I’m grateful to the thousands of people who have been involved to date, who have been quick to tell us what they think of our proposed scheme and where they’d like the money raised from Edinburgh’s levy to be spent.

“With the potential to bring in tens of millions of pounds a year once it’s established, a Visitor Levy for Edinburgh presents a huge opportunity for us to invest sustainably in maintaining and developing the things that make our city such a great place to visit – and live in – all year round.

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“Once in place, it will offer the biggest and most supportive source of new funding for Edinburgh's cultural sector since the start of National Lottery funding 30 years ago.

“I’m pleased that the vast majority of those who have already taken part in our final consultation are residents, who clearly feel passionate about the benefits a levy will bring to our city and to our communities. My message now is to businesses and visitors– please don’t miss this opportunity to have your say.”

To take part in the consultation, people are urged to visit the council’s consultation website before December 15.

Businesses can also sign up to attend an online briefing on Monday, November 18.

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