Inverclyde Council Could Bring In Visitor Levy For Hotels

Inverclyde Council now has the power to add a 'tourist tax' to accommodation costs for people visiting the area - but it's yet to decide whether to use it.

The Visitor Levy (Scotland) Act, which gives local authorities the power to add charges to stays at hotels, and bed and breakfasts, has been brought into force by the Scottish Government. 

The scheme is not expected to be introduced until 2026, but Inverclyde councillors can now begin to consider the law and its benefits for the area. 

Inverclyde Council leader Stephen McCabe said the council would be undertaking an options appraisal to determine if the levy will be 'appropriate for Inverclyde'. 

He said councillors would learn more from Edinburgh City Council as their plans for the scheme progress. 

Councillor McCabe added: "I welcome the fact that we now have the power to introduce an overnight accommodation visitor levy. 

"Edinburgh are forecasting that they could generate £20m a year from a visitor levy, given the scale of accommodation they have.

"We would generate a far more modest sum. Unlike Edinburgh, we have a relatively low level of overnight accommodation. 

"We will learn from the experience of Edinburgh who are the most advanced in developing their model."

Councillor McCabe said administrative costs and demand for accommodation are among the issues that will have to be discussed. 

He added: "There would be administrative costs in operating a levy, so any income raised would need to more than cover these costs. 

"We would also need to be assured that any levy would not have a negative impact on the demand for accommodation in Inverclyde. 

"These issues will be explored in the options appraisal."

Councillor Elizabeth Robertson, leader of the local authority's SNP opposition group, said she backed the principle of a visitor levy but, like Cllr McCabe, was unsure whether it would benefit the area.

The new legislation does not cover cruise ships, but Cllr Robertson said the idea of a separate levy on cruise ships, currently being considered by the Scottish Government, could have huge benefits for the Inverclyde economy.

She said: "I like the idea of councils being able to make a choice about whether or not they introduce it, and if they believe it will be beneficial. 

"I don't know if a visitor levy will work particularly well in Inverclyde but if we could introduce a levy for cruise ship passengers, that would be a game changer and would be a big consideration for us."

Councillor Robertson highlighted that 'tourist tax' is already in place in countries across the globe. 

She added: "It's something that happens in a lot of places all over the world. 

"Going into most countries, people will have to pay some form of levy to be there. 

"We're not doing something outrageous if we do introduce it, as it's something that already happens across tourist destinations."

If you are looking for somewhere to stay in Inverclyde, then check out Harbour Lets (Gourock).

This article appeared in The Greenock Telegraph.