Edinburgh to Introduce UK's First City-Wide Tourist Tax

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Edinburgh to Introduce UK's First City-Wide Tourist Tax
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Edinburgh will become the first UK city to implement a mandatory tourist tax, aiming to raise £50 million annually to support local services and infrastructure.

Edinburgh is set to introduce the UK's first mandatory city-wide tourist tax from July 2026. The levy, which will be 5% plus VAT on all stays booked from May 1st, 2026 onwards, is expected to raise up to £50m annually. The funds will be invested in social housing, public parks, tourism facilities, and arts and cultural events to mitigate the impact of mass tourism. City officials recommend a long lead-in time to ensure visitors are aware of the charge in advance.

Councillors are expected to vote on the scheme on Friday, after over six years of development. This levy will cover all types of accommodation, from campsites and hostels to hotels and Airbnb properties, affecting an estimated 4,000 providers. A fixed fee of 75p per night is anticipated for campsites and hostels, while other accommodations will face a £1.25 charge. Other English cities, like Manchester and Liverpool, have implemented smaller-scale voluntary visitor levies, but Edinburgh's scheme is the first to encompass all accommodation types and operate on a city-wide basis

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