UKH Scotland urges govt to cap visitor levy bill

UKH Scotland has urged politicians to agree to a cap on the number of nights a levy can be charged to mitigate the impact a levy would have on Scotland’s appeal as a visitor destination. 

This is in response to the local government’s housing and planning committee’s consultation on the visitor levy bill, which will impose a visitor levy of up to 7% on consumers. 

As a result, the hospitality association has called for a limit on the number of nights that can be charged to be set at five nights in the same accommodation.  

UKH also called for a guaranteed commitment within legislation that revenue raised through a levy be exclusively used to develop, support or sustain tourism-related services and facilities used by visitors. 

The association also stipulated that businesses should be reimbursed from the levy for their costs in implementing and administering the scheme. 

Leon Thompson, executive director of UKH Scotland, said: “Some of the proposals for the visitor levy are incredibly worrying, with major implications for competitiveness and costs for our businesses charged with collecting and administering the scheme.

“With no upper limit on the charge or ring-fencing of funds in legislation, there is a real risk that the introduction of a levy could see the costs to visitors spiral, reduce investment by accommodation businesses and hit the wider visitor economy. Not only will visitors be paying substantially more in destinations like Edinburgh under current proposals, but businesses may also see a decline in visitor numbers as a consequence.”

He added: “It is essential that as MPs scrutinise the bill they respond to the very real concerns of our businesses, recommend the introduction of a cap, ensure that the bill provides certainty on ringfencing net revenue for tourism activities, and stipulate that provision be made for businesses to recover their costs from implementing the scheme.”