Edinburgh visitor levy pushes up prices

As the City of Edinburgh Council’s visitor levy begins today (Friday 24 July), the first in the UK, UKHospitality Scotland has highlighted the increased prices being forced on to consumers.

Edinburgh’s visitor levy will see overnight visitors to the city pay an additional 5% charge on their accommodation.

Last week, organisers of the Edinburgh Jazz and Blues Festival commented on the increase in hotel prices for performers coming to the city.

It’s an early example of how the reputation of Edinburgh, and Scotland, as a leading global destination is at risk of being permanently harmed.

Glasgow, Aberdeen and Stirling councils have voted to introduce their own charges, while several other local authorities are consulting on introducing a levy.

Leon Thompson, Executive Director of UKHospitality Scotland, said:

The UK’s first visitor levy is not a cause for celebration. It’s a landmark moment for all the wrong reasons – increasing costs for visitors, hitting Edinburgh’s local economy and harming our reputation on the world stage.

“It has not taken long for visitors to notice the price increases that hotels have been forced to pass through, because of the significant 5% visitor levy, alongside increased costs of operating. Including increases in business rates.

“If this was replicated by local authorities across Scotland, particularly in rural areas, the ramifications could be far greater, with significant impacts on tourism, hospitality and the local economy as a whole.

“I hope local authorities currently consulting on introducing a levy undertake the detailed economic impact assessments required to fully understand the impact on their local economy and community.”