Cruise levies would stifle growth and job creation

Cruise tourism comprises 0.5% of total tourism visits to Scotland yet generated £130 million for local economies around the country in 2023. The benefits of cruise tourism have boosted coastal communities, with Scottish ports benefiting from the managed growth of cruise tourism. This has mainly occurred due to a rise in luxury and expedition cruising to Scotland.

In its response to the consultation, UKHospitality Scotland has urged the Scottish Government to consider seriously the economic implications of introducing a charge on cruise ships, particularly as accommodation businesses across the country grapple with Visitor Levy legislation, with councils setting out their plans to introduce a charge on tourism.

Leon Thompson, Executive Director of UKHospitality Scotland said: “The cruise industry is a major contributor to the Scottish economy and a key part of regional growth, supporting businesses across the country, as well as thousands of jobs. The majority of these jobs are in hospitality and tourism, in businesses that benefit from these visits.

“Many hospitality businesses have adapted their offer to tap into this lucrative market. For many this is an essential part of revenue generation, extending the season and bringing visitors that would otherwise not have materialised. This all helps hospitality play its part in regenerating communities around our coast and on our islands.

“It is therefore essential that the Scottish Government consider what might be at stake if a levy, or series of local levies, were to be introduced.

“At a time of increased competition for cruise tourism, Scotland must not be priced out of the market and lose the clear advantage the country has, along with the economic growth and jobs it delivers.

“Applying a charge to visitors to islands needs careful consideration. It is already more expensive to visit our islands, so why seek to increase those costs and deprive island communities of economic opportunity?”