Edinburgh's tourism firm is fined for failing to file accounts - and you pick up the bill

Taxpayers are being made to foot the bill after Marketing Edinburgh - Edinburgh City Council’s wholly-owned tourism marketing company - has been fined for failing to file its accounts two years in a row.

Let us know what you think and join the conversation at the bottom of this article.

Last year, Marketing Edinburgh was fined £1500 of Edinburgh taxpayers’ money for failing to submit its annual accounts to Companies House - and has now cost taxpayers another £1500 by failing to do so this year.

In October, the council agreed to transfer all assets and current staff to the council, effectively taking complete control and responsibility for the previously arms-length company and the marketing of the capital.

Marketing Edinburgh helps draw tourists to the Capital

Tourism earnings are seen as more vital than ever as the Capital tries to recover from the global pandemic.

READ MORE: New report warns Edinburgh has to 'work harder' this year if it is to cash-in on tourists

Conservative councillor Andrew Johnston said: “Two years in a row taxpayers have been left to pay fines because this organisation can't or is unable to get it's affairs in order.

“This is despite the UK Government allowing all limited companies an extra three months to file accounts, due to the Covid-19 pandemic.

Andrew Johnston called for an explanation over failings

“With each passing month the SNP-Labour administration's decision to slash funding to Marketing Edinburgh looks more and more flawed.

“Now is the time that Edinburgh desperately needs to market itself to a global audience yet we have been left with a husk of an organisation that is costing money rather than generating income for our beleaguered tourist industry.

“The councillors involved need to explain what has gone so badly wrong.”

READ MORE: Marketing Edinburgh: Councillors face serious questions about its closure – John McLellan

The day after being contacted by the Local Democracy Reporting Service, Marketing Edinburgh updated the address and names of the directors of the company, but still has not filed its annual accounts as it is required to do.

The new directors are: Edinburgh councillors Mandy Watt, Labour; Claire Miller, Green Party; and Kate Campbell, SNP.

A Marketing Edinburgh spokesperson said: “Marketing Edinburgh is in the final stages of finalising its accounts and will be filing shortly.

“This year has been challenging for all businesses and going forward we anticipate a return to less trying circumstances.”

An Edinburgh City Council spokesperson said: “An automatic fine will be applied and this will be paid by Marketing Edinburgh.”

A message from the Editor:

Thank you for reading this article. We're more reliant on your support than ever as the shift in consumer habits brought about by coronavirus impacts our advertisers.

If you haven't already, please consider supporting our trusted, fact-checked journalism by taking out a digital subscription.