The proposed bill, intended for introduction in early 2026, builds upon the Visitor Levy (Scotland) Act 2024, which originally allowed local authorities to fund tourist services by charging a percentage of accommodation costs.

Under the new proposals, councils will have the option to set a fixed-amount levy rather than a percentage-based one. This fixed amount can be applied on a per-person, per-night basis, or simply per night. Authorities will have the discretion to vary these amounts based on geographical location, the time of year, or the type of accommodation.

Clarifying the Rules Beyond the pricing structure, the legislation aims to clarify administrative details. It will set out how levies apply to sales made via third-party booking platforms and specify the information that accommodation providers are required to share with councils. Subject to the parliamentary timetable, the Scottish Government hopes to pass the Bill within the current session.

Public Finance Minister Ivan McKee highlighted that the aim is to empower councils to design a levy that suits their specific local needs while ensuring clarity for businesses. He noted that the decision to legislate follows a partnership between the government, local authorities, and the tourism sector.

The announcement has been met with strong support from industry leaders. Fiona Campbell MBE, chief executive of the Association of Scotland’s Self-Caterers (ASSC), described the move as “innovative and pragmatic”.

Ms Campbell praised the inclusion of a flat-rate option, calling it a positive step that reflects the government’s willingness to listen to evidence-based concerns from operators and stakeholders.

“The move towards flexibility mirrors the strong alignment of industry bodies… calling for a fairer and more practical model for implementation,” she stated, confirming that the ASSC and Scottish Tourism Alliance look forward to collaborating on the bill’s progression.