Edinburgh’s long-awaited tourist levy has finally taken a step forward, with the City Council approving a five per cent rate in principle.
While some argue this isn’t high enough, I’m here to say: hold your horses.
Five per cent strikes the right balance between generating revenue for the city and maintaining Edinburgh as an attractive destination for visitors.
Tourism is the lifeblood of Edinburgh. It’s not just the big-ticket attractions like Edinburgh Castle or it’s world-renowned programme of festivals that rely on tourists. The ripple effect extends to local businesses—cafés, pubs, shops, and everything in between. Tourism contributes billions to the city’s economy every year and supports countless jobs, particularly in hospitality.
But as much as we love welcoming visitors, there’s no denying that tourism also puts pressure on the city. From overcrowded streets to the real issue of rising housing costs, the impact is felt by residents and workers alike. Introducing a tourist levy is a smart move to ensure the city can reinvest in its infrastructure and tackle some of these challenges.
Here’s the thing: the five per cent levy is already ambitious. We’re talking about one of the highest tourist taxes in Europe.
To put it into context, Rome charges €3–7 per night depending on the type of accommodation, while Paris has a maximum of €5 per night. Edinburgh’s levy will apply at five per cent of the room cost, meaning visitors could easily be paying more here than in other iconic European cities.
The argument for increasing the levy to seven or eight per cent is tempting when you hear it framed as ‘more money for affordable housing.’ But let’s not oversimplify things. Hiking the rate could have unintended consequences, particularly for smaller hotels, B&Bs, and other businesses already feeling the pinch from rising costs and economic uncertainty. A higher levy could deter visitors – especially those on a budget – leading to fewer bookings and, ultimately, less revenue for businesses.
The tourism industry is fragile. Just last month UK Hospitality Scotland said businesses are ‘in survival mode and are actively looking to cut staff numbers as they grapple with the rise in employer National Insurance contributions. We don’t want to put them even more at risk by pricing out the city.
Some think a higher levy is the magic bullet for Edinburgh’s housing crisis. Yes, the city faces significant challenges including short-term lets eating into available housing stock and high rental costs. But these are complex problems that require comprehensive solutions. A tourist tax, no matter how high, isn’t going to fix everything.
As the host of the largest performative arts festival in the world, a famously cash strapped organisation, we should know how important it is to not price out the very soul of Edinburgh. The cultural cost will not be worth it.
We need to be pragmatic. The five per cent rate is already expected to generate millions of pounds annually. That’s a significant sum that can make a real difference if used wisely. What’s more, the levy will be reviewed in three years, giving us time to assess its impact and adjust if necessary.
Instead of focusing on squeezing more out of the levy, let’s ensure the five per cent we’re already committing to is used effectively. Transparency will be key here – residents and businesses alike need to see that the funds are being invested in ways that benefit everyone, not just affordable housing, but better public transport and infrastructure.
Edinburgh’s popularity as a tourist destination is both a blessing and a challenge. Striking the right balance is crucial, and I believe the council has made the right call with five per cent. It’s fair, competitive, and gives us room to grow without risking the city’s reputation as a welcoming and accessible destination.
This is a positive step forward for Edinburgh, and we should focus on making it work rather than rushing to demand more. After all, the best solutions are often the ones that consider the long-term picture – not just the political quick wins.
New Year, New Career
As we approach the end of the month, how many of us are still maintaining our New Years’ resolutions?
I’m sure there are many people across the country who have finding a new job or maybe even changing careers completely on their list.
You might think that January isn’t the best time to look for a new position, especially if the market is overcrowded with potential candidates. However, it is often touted as one of the top months to be hired by recruiters.
While employees may use their New Year’s resolutions to reflect on professional goals, businesses also often start the year looking at their own targets and the staff they will need to achieve them. They might even have a fresh new wage budget for the year.
A recruitment firm in Edinburgh, Core-Asset Consulting, has shared its thoughts on what it expects to be the most in-demand jobs in Scotland this year, and what they pay – and it is definitely worth a look for anyone looking for inspiration.
It’s no surprise to see that AI has influenced the list with key sectors including technology integration and automation, alongside cyber security and digital resilience at the forefront.
An AI specialist can command an average salary of £92,500 per year, while a cyber security specialist averages £100,000 per year.
If you can gain the experience or upskill in these areas now, while demand outweighs the number of people qualified in these sectors, there’s clearly the potential to earn a decent salary. Not a bad way to start 2025!
It Made Me Laugh
Feeding Tigers…with Tongs?
Edinburgh Zoo seems to be on a public offensive recently. The much-loved destination has secured further column inches with its newly created £2,000 package, which includes feeding tigers with a pair of tongs through a wire fence. However, I wonder how many will be brave enough to part with their cash for the privilege.
It absolutely makes business sense for Edinburgh Zoo to monitise ‘exclusive’ opportunities like this, creating packages that add extra value to your visit – particularly if you’re going there to celebrate something special.
But I do wonder if those with enough spare cash to take part may be more likely to book a safari holiday and see these majestic creatures in their natural habitat instead. Although I wouldn’t advise trying to feed them though.
It Made Me Weep
Pothole Capital of Scotland
It’s sad to see Edinburgh dubbed the country’s pothole capital.
More than 70,000 potholes in Edinburgh have been recorded in the 2024-25 period, as reported by the Scottish Conservatives who attributed the state of our city’s roads to “savage” SNP cuts to local authority budgets.
Edinburgh, our country’s capital, represents Scotland on the national and international stage, welcoming millions of visitors every year and hosts some of our biggest events.
It’s a big outlay to fix them all, but as well as making Edinburgh look like it’s in a state of disrepair, how many commuters or pedestrians will be at risk of an accident? It’s time for action.
