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Edinburgh city 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.
The City of Edinburgh Council has acted on UKHospitality Scotland’s recommendation to delay when accommodation businesses have to start collecting levy funds.
UKHospitality Scotland has said the decision was critical to give businesses and booking platforms an appropriate amount of time to implement new systems to collect levy funds.
It also urged the Council to continue working closely with UKHospitality Scotland and its members to support businesses preparing for the levy’s introduction.
Leon Thompson, executive director of UKHospitality Scotland, said: “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.
“Our fundamental concern has always been that this levy will only serve to make visitors’ trips to Edinburgh more expensive, ultimately reducing their spending in the wider visitor economy and deterring future visits. It’s now the job of the Council to use these funds wisely to improve the capital’s attractiveness as a visitor destination and mitigate the impact of the levy on businesses.
He added: “I am pleased that throughout the process the Council has listened closely to and acted on UKHospitality Scotland’s concerns, and those of our industry partners, through the introduction of business support measures and the change to the scheme today to delay when businesses will have to collect levy funds.
“That was critical to help businesses and booking platforms, who needed more time to put in place the systems required to collect the levy. As we now head towards July next year when the levy comes into force, I look forward to working closely with the Council, as part of the partnership approach it has taken so far, to help make the scheme work as best as possible for hospitality and tourism.”
