Edinburgh’s New Adventure: Introducing a 5% Tourist Tax!

The leader of Edinburgh city council, Jane Meagher, stated that she believes the tax will provide “significant advantages” to the city but will not be a “magic solution” to housing challenges.

She further rejected claims that the tax would deter tourists.

Meagher added: “Individuals comprehend the necessity for a visitor levy, as inevitably those who come to the city utilize resources that are currently funded by council tax.

“They recognize the rationale behind it, but more crucially, they will reap the rewards – resulting in a more enjoyable experience when visiting the city.”

The charge would represent a fraction of the price for overnight lodging – excluding the commission the provider pays to any online reservation platform and room “add-ons” such as meals and beverages.

In 2023, a housing crisis was declared in Edinburgh as house prices and rental costs skyrocketed, along with an unprecedented number of individuals identifying as homeless.

Visitors account for approximately 5.3 million overnight stays in the city each year, but already high accommodation prices surge during the August festival period – prompting some comedians and performers to express concerns about being unable to afford to attend.

Several other Scottish local councils have shown interest in a visitor tax, stating they lack sufficient facilities to manage the increasing influx of tourists.