Tourist tax introduced in Edinburgh: How much is it and who pays?
The Scottish capital has become the first city in the country to introduce a charge for overnight stays.
Edinburgh has become the inaugural city in Scotland to implement a tourist tax. This new visitor levy, effective from Friday, will impose an additional 5% charge on top of the original booking cost for individuals staying overnight in hotels, bed and breakfasts, and self-catering accommodations.
The charge is projected to generate approximately £50 million annually, with hopes that these funds will be directed towards enhancing the capital. Potential uses include financing new housing, supporting cultural initiatives, and increasing police presence. However, critics argue that this extra expense could deter some prospective visitors.
The Scottish government enacted the Visitor Levy (Scotland) Bill in May 2024, empowering local councils to introduce such a tax. The City of Edinburgh Council had already voted in favour of implementing the charge in January of the previous year. This move aligns Edinburgh with other prominent European destinations like Amsterdam, Paris, and Rome, which also tax visitors.
Guests will incur a 5% fee added to their accommodation booking total. This fee will be collected by accommodation providers and subsequently remitted to the city council. Nevertheless, the charge is capped at five nights. Consequently, those booking for an extended period, such as the entire month of August, will not face a