Edinburgh’s Visitor Levy: balancing tourism revenue and business concerns

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The Edinburgh City Council’s proposed Visitor Levy, set at 5% of accommodation costs, has sparked a response from UKHospitality Scotland, the leading trade body for the hospitality sector.

While acknowledging some positive aspects of the revised scheme, the organisation emphasises the need for careful implementation and consideration of business interests.

The leading trade body reiterated that levy costs must be kept to a minimum and that the inclusion of a cost recovery mechanism for businesses was essential.

Leon Thompson, Executive Director of UKHospitality Scotland, said: “It’s crucial that the Visitor Levy was not raised above the proposed rate of 5% and it’s positive that the Council has listened to strong feedback from hospitality businesses on this point.  

“Retaining a mechanism for business cost recovery, as called for by UKHospitality Scotland, was essential and I’m pleased that this remains within the revised scheme.

“The proposal to apply the levy to eligible bookings from May this year is a quick turnaround for businesses, who will have to implement new systems and ways of working in just over three months. To make this achievable, the Council will have to work at pace to urgently provide clear and detailed guidance for businesses tasked with collecting levy funds.

“Ahead of the Council vote later this month, I would urge councillors to understand that the rate cannot be punitive and to be mindful of the impact any additional costs will have on businesses and visitors.

“UKHospitality Scotland will continue to work with the Council on behalf of the sector to ensure this scheme is introduced as simply as possible for businesses and visitors.”

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