Drivers and residents are being urged to make their voices heard as Edinburgh City Council launches a consultation which could see tourists charged for staying in caravans, motorhomes and hotels.
The draft documents for the Edinburgh Visitor Levy outline that it will apply to all overnight accommodation within the City of Edinburgh Council boundary.
While this will naturally include hotels, hostels and B&Bs, it will also apply to caravan sites, as well as those seeking accommodation in a vehicle which is predominantly situated in one place.
The levy will be a five per cent cap at a maximum of seven consecutive nights and will apply all year round. The levy will also be the same across the local authority area.
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Draft documents suggest caravans and motorhomes could be required to pay the levy
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The draft documents state that seasonal accommodation including Edinburgh Caravan and Motorhome Park, Linwater Caravan and Camping Park and Mortonhall Caravan and Camping Park could be impacted.
Drivers staycationing in the Scottish capital could also face the levy when staying in hotels along their journey.
The council estimates that the levy could raise over £100million by the end of the decade from tourists to support the Scottish capital.
Legislation was formally introduced in September to launch the Visitor Levy (Scotland) Act 2024 which grants councils the authority to have a levy on overnight stays.
The council consultation will ask for views on the planned five per cent rate, the types of accommodation that will be liable for the levy, how the money should be used and any exemptions to the levy.
It outlined that councillors will consider all feedback from the consultation before deciding in early 2025 to adopt or amend the scheme for use in Edinburgh.
The proposed levy is set to take effect from July 24, 2026, although this is still subject to Council approval and the deadline could be moved to a later date.
Cammy Day, Leader of Edinburgh City Council, said the scheme had the potential to raise “tens of millions of pounds a year” once it is introduced in 2026.
He added that the visitor levy presents a “huge opportunity to invest sustainably”, as well as developing measures to make the city a better place to live in and visit.
Councillor Day, who represents the Forth ward, said: “This is a once-in-a-lifetime chance for our city to harness its global visitor appeal.
“Funds raised could go towards supporting vital services such as keeping the city clean and green, preserving some of our incredible heritage sites as well as supporting businesses in the visitor economy industry
“We already know from the huge amount of engagement we’ve previously carried out that the introduction of a levy has overwhelming support here in Edinburgh.”
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Edinburgh is looking to introduce the levy in 2026
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The councillor added that the council would continue to work with industry and stakeholders, before calling on local residents to have their say.
Visitor levies are already in place across the world with popular tourist hotspots like Amsterdam, Paris, Rome, Barcelona, New York and Dubai all using these measures.
The council said accommodation providers will collect the levy directly from visitors who will pay the levy and report the collected sums to the council every three months.
The Edinburgh City Council consultation will run from Monday, September 23, until the closure on Sunday, December 15.
