Local authorities in Scotland now have the power to introduce a visitor levy. This is an additional cost paid by visitors to their accommodation provider, and passed to the local authority for investment in visitor services.
This information is for accommodation businesses including:
Check out our list of regional developments or go direct to your local authority to find out what is happening in your area.
Read on for general advice on how the visitor levy may work if introduced in your area.
The Scottish Government intends to introduce legislation early in 2026 to give local authorities greater flexibility over how they design and implement a visitor levy. If the legislation passes, it is expected the bill will allow local authorities to charge either a percentage-based visitor levy, a single fixed amount, or a range of fixed amounts for different purposes or areas.
The following information will be updated if and when the bill passes and new guidance is issued.
It is not a national scheme – the legislation just gives the power to authorities to introduce a local scheme.
A visitor (or guest/customer) is someone who stays overnight in paid accommodation. It is not their usual place of residence.
The charge is applied to the reasonable cost of accommodation only – it should not include anything which is separate or added onto the cost of the stay (eg meals, entertainment, transport, etc).
Make sure to update all of your business listings, your website and any marketing or promotional materials to mention the levy charge.
Follow existing pricing regulations when deciding how to display the levy charge.
Terms and conditions, invoices and receipts must all mention the levy.
You can collect the charge:
If you sell your accommodation through a distribution partner (eg an OTA), the levy charge should be applied to the full cost (not the net amount after commission).
You must keep accurate records of all levy charge transactions and submit returns as required to the local authority.
The levy charge only applies to stays which take place – refunds should be given on cancelled stays, even if the rest of the stay is non-refundable.
There may be statutory (national) or local exemptions to the charge.
If a visitor refuses to pay, you can either absorb the cost yourself and pay the local authority or refuse/cancel the booking.
The most important thing is to be consistent with how you apply the charge, keep accurate records and be ready to explain your decisions to the local authority if required.
A national system is being developed to support you and local authorities in managing returns – it is scheduled to go live in April 2026 for local authorities who decide to use it.
Find out what your business is responsible for, what the visitor should do, and what your local authority will cover.
*Unless you sell through a distribution partner who has an agreed deal with the local authority to pay the charge directly.
Advice on how to work out the charge for your customers, and whether to include breakfast, with example calculations.
The percentage charge should only be applied to the accommodation part of the stay.
The reasonable accommodation cost should:
Breakfast
Examples:
OR
The levy charge counts towards your taxable turnover – so make sure it doesn’t push you over the registration threshold (currently £90,000).
Seek advice from HMRC or your accountant to ensure compliance.
The levy charge will have the same VAT liability as the accommodation itself.
Seek advice from HMRC or your accountant to ensure compliance.
You remain legally responsible for calculation, collection and payment of the levy.
A distribution partner may make an arrangement with the local authority to pay all levy charges directly.
Otherwise, you must ensure:
If your accommodation is being sold as part of a trip package:
Want to know more? You'll find a detailed list of questions you might have about the visitor levy in this document. Use the contents table to jump straight to your question.
VisitScotland and the Scottish Tourism Alliance (STA), working with industry stakeholders, have developed a set of national FAQs to support accommodation providers in preparing for the visitor levy.
These FAQs sit alongside the local guidance that will be produced by any authority introducing a scheme.
VisitScotland will keep these FAQs up to date in line with legislation and statutory guidance, with the support of our partners.
Local authorities are at different stages of considering or implementing a visitor levy. Find out if your local authority has proposed or approved a visitor levy scheme and how you can contribute to consultations.
For visits taking place on or after 1 April 2027, a levy of 7% on overnight accommodation will be applied for the full length of a stay in the city.
Accommodation providers will retain a percentage of the money collected to offset some of the costs involved.
After administration costs, the remaining funds will be spent on economic growth and competitive advantage, destination marketing and development, and destination readiness and improvement.
Find more details on the Aberdeen City Council website.
From 24 July 2026, a levy of 5% on overnight accommodation will be applied to a maximum of five nights.
Businesses will need to apply the levy to any advance bookings made as of 1 October 2025 for stays on or after 24 July 2026.
Accommodation providers will keep 2% of the money collected to offset some of the costs involved.
The majority of the funds will be spent on city operations and infrastructure, culture, heritage and events, and destination and visitor management.
There will also be a fixed amount set aside for housing and tourism mitigation and participatory budgeting.
Main contact details for the council are: visitorlevy@edinburgh.gov.uk.
Find out more, including information designed to help you understand your responsibilities under the scheme, on the City of Edinburgh Council’s website.
From 25 January 2027, a levy of 5% on overnight accommodation will be applied for the full length of a stay in the city.
Businesses will need to apply the levy to any advance bookings made from April 2026 for stays on or after 25 January 2027.
Accommodation providers will keep 1.5% of the money collected to offset some of the costs involved.
After administration costs, the remaining funds will be spent on city operations and infrastructure, culture and events, and destination marketing and management.
More details will be published on Glasgow City Council’s website.
From 14 June 2027, a 3% levy will apply to all overnight paid visitor accommodation stays in the Stirling Council area.
Businesses will need to apply the levy to any advance bookings made from 1 January 2027 for stays on or after 14 June 2027.
After administration costs, which includes the establishing and maintenance of a contingency fund, the net proceeds will be spent on a number of areas including infrastructure, destination marketing and product development.
Find out more details on the Stirling Council website.
From 1 July 2027, a levy of 5% on overnight accommodation will be applied for the full length of stay in the area.
Accommodation providers will need to apply the levy to advance bookings made (and paid for in part or in full) from 1 October 2026 for stays on or after 1 July 2027.
Accommodation providers will keep 1.5% of the money collected to offset some of the costs involved.
After administration and contingency costs have been deducted from the income, an annual amount will be assigned to cover participatory budgeting.
The remaining funds will then be utilised through the following investment streams:
There are currently no open consultations.
The council's formal consultation period closed on 10 April 2025. Main contact details for the council are: abvl@argyll-bute.gov.uk.
Find further information on the consultation on argyll-bute.gov.uk.
The council's formal consultation period closed on 21 November 2025. Main contact details for the council are: visitorlevy@dumgal.gov.uk.
Find further information on dumfriesandgalloway.gov.uk.
The council's formal consultation period closed on 31 March 2025. Main contact details for the council are visitorlevyconsultation@highland.gov.uk.
Find further information on the consultation on consult.highland.gov.uk.
Those who have so far published information on the visitor levy include:
