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Millions of UK tourists could face new visitor levies as councils seek to fund services

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November 25, 2024
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Millions of UK tourists could face new visitor levies as councils seek to fund services
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Tourists visiting the UK may soon be asked to pay local visitor levies as councils consider introducing overnight stay charges to support services strained by over-tourism.

The move follows similar measures in European destinations like Berlin and Barcelona and aims to address the challenges posed by record visitor numbers in popular areas.

Nearly half of Scotland’s local councils, including Highland, Orkney, and the Western Isles, are exploring a tourist tax. Highland council has begun consultations on a 5% overnight stay levy, potentially raising £10 million annually to improve infrastructure and facilities. Edinburgh is set to lead the UK by implementing a mandatory levy in July 2026, projected to generate £50 million per year.

In Wales, the government plans to unveil proposals for a visitor levy to fund tourism and local amenities, focusing on hotspots such as Gwynedd, Pembrokeshire, and Cardiff.

Highland council’s economy chair, Ken Gowans, emphasised the need for sustainable tourism, saying, “The wear and tear isn’t caused by locals, but they’re paying for it through council tax. If we have this money, we can maintain and improve services for visitors and residents alike.”

Over-tourism has strained destinations such as Skye’s fairy pools, the North Coast 500 route, and Orkney’s Neolithic sites. The travel guide Fodor’s recently placed the North Coast 500 on its “No list” due to its popularity creating tensions, with clogged roads, overwhelmed campsites, and environmental concerns.

In the Lake District, a study suggested introducing charges for overnight stays or car use to mitigate the environmental burden on the national park, which hosts 18 million visitors annually but has just 40,000 residents.

While some industry leaders, including VisitScotland, back the levy as a way to invest in sustainable tourism, others warn it could deter visitors. Critics, including hoteliers in Inveraray, have labelled the tax as “financial suicide,” arguing it may reduce spending and add administrative burdens.

However, Michael Hill, CEO of Friends of the Lake District, said similar levies in Europe have improved destinations. “We’re not anti-tourist. In many cases, visitor numbers actually increase after a levy is introduced because the place becomes better,” he noted.

As councils across the UK move closer to implementing visitor levies, they aim to balance the needs of local communities with those of visitors. By reinvesting revenue into infrastructure, the levies could support sustainable tourism while ensuring long-term benefits for popular destinations.

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Millions of UK tourists could face new visitor levies as councils seek to fund services

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