City of Edinburgh Council has acted on UKHospitality Scotland’s recommendation to delay when accommodation businesses have to start collecting levy funds. Councillors have voted to push back the start of the Visitor Levy transition period to 1 October 2025, amending the original proposal of 1 May 2025. This means accommodation businesses will have a further three months to prepare to collect levy funds for bookings made for 24 July 2026, onwards, when the levy comes into effect.

UKHospitality Scotland has stated that this delay is critical for businesses and booking platforms to implement necessary systems for collecting levy funds. It urges the Council to continue collaborating closely with UKHospitality Scotland and its members to assist businesses in preparing for the levy’s introduction.

Leon Thompson, Executive Director of UKHospitality Scotland, remarked:

“Not only has Edinburgh’s visitor levy been confirmed, but so too has the hit to the city’s competitiveness as a leading tourist destination.” Translation: Not only has Edinburgh’s visitor levy been confirmed, but so too has the hit to the city’s competitiveness as a leading tourist destination.

He further expressed concern that the levy will only increase costs for visitors to Edinburgh, ultimately decreasing their spending in the local economy and discouraging future visits. Thompson emphasized that it is now the Council’s responsibility to use the collected funds wisely to enhance the city’s appeal and counterbalance the levy’s impact on businesses.

He added, “I am pleased that throughout the process the Council has listened closely to and acted on UKHospitality Scotland’s concerns.”

Translation: I am pleased that throughout the process the Council has listened closely to and acted on UKHospitality Scotland’s concerns.

As the implementation date approaches, Thompson looks forward to ongoing collaboration with the Council in making the visitor levy scheme beneficial for both hospitality and tourism.