Council leader happy to stick with percentage Visitor Levy

Edinburgh council leader Jane Meagher says she is happy to stick to the city's percentage system for the new tourist tax despite the Scottish Government's plan to allow councils to opt for a flat rate instead.

- by Ian Swanson

Edinburgh will stick with its 5 per cent Visitor Levy despite the Scottish Government's plan to allow councils to opt for a flat rate

(Jeff J Mitchell)

She said a percentage was "future-proofed" against inflation and fairer for those paying the tax.

The Capital is due to introduce its Visitor Levy in July 2026, at 5 per cent for overnight stays, capped at five nights. It will apply to almost all paid-for overnight accommodation, including hotels, guest houses, B&Bs, short-term lets and campsites. And it is expected to raise £100 million over the first three years and then £50m a year.

The Visitor Levy (Scotland) Act passed last year gives councils the power to raise funds by applying a charge on overnight stays based on a percentage of accommodation costs. Edinburgh is the first to take up the power.