Edinburgh tourist tax: How much is it and who pays?
Edinburgh has introduced a visitor levy—widely called the edinburgh tourist tax—charging overnight guests an extra 5% on accommodation bookings from Friday, capped at five nights. Providers collect it for the council. Day-trippers do not pay; hotels, B&Bs, self-catering and similar stays do.
Scotland’s capital is the first Scottish city to impose the charge after City of Edinburgh Council voted it through and Holyrood passed the Visitor Levy (Scotland) Bill in May 2024. Leaders hope it raises about £50m a year for housing, culture and policing, while critics say higher bills could deter some visitors.
Key Takeaways
- The edinburgh tourist tax adds 5% to overnight accommodation costs and is capped at five nights.
- Only people staying overnight pay; day-trippers are not charged.
- Hotels, B&Bs, self-catering, hostels, campsites and some moored vessels are covered.
- Scottish Ballet has cut Edinburgh performances, warning touring costs look “unsustainable.”
- Council forecasts about £45m–£50m by 2028/29 for visitor-facing services.
How much is the Edinburgh tourist tax?
According to BBC Scotland News, guests pay a flat 5% on top of the accommodation booking. Accommodation providers collect the fee and pass it to the city council. The rate does not change by season.
A five-night cap limits the hit on longer stays. A £100-a-night room for five nights (£500) becomes £525 with the levy. The same room for 10 nights (£1,000) becomes £1,025, because only the first five nights are taxed.
Exemptions cover some homeless people in emergency housing, people at risk of domestic abuse or violence, those rehoused over poor living conditions, asylum seekers and refugees, and some disability-benefit recipients. Exempt guests usually pay first, then reclaim later.
Who pays the Edinburgh tourist tax?
Anyone staying overnight in paid tourist-style lodging can face the charge. That includes hotels, self-catering apartments, holiday lets such as Airbnbs, aparthotels, bed and breakfasts, guest houses, hostels, caravan and campsites, student lets when not used by Edinburgh students, and vessels moored in one place, such as houseboats.
Day visitors from elsewhere in Scotland or the wider UK do not pay. The timing coincides with August’s festival season, when the International Festival, Fringe, Art, Book and Film festivals and the Royal Military Tattoo draw huge crowds.
For travellers comparing trip budgets, BlasterPost’s Net Worth & Wealth hub tracks how new taxes reshape household spending.
Why are families and arts companies worried?
ITV coverage has asked whether the levy is one tax too many for families booking city breaks. Local operators also report frustration from nearby guests who already pay council tax yet face the extra overnight charge on short stays.
The Stage reports Scottish Ballet cancelled five Edinburgh performances because of the levy’s impact on digs, warning touring could become unsustainable. BBC reporting adds the company already faces a £200,000 bill to house about 150 performers and crew and has cut its winter run to 17 shows.
Council leader Jane Meagher argues visitor numbers have risen year-round and that guests should help fund the city’s upkeep. Revenue must be reinvested in services and facilities substantially used by visitors, including housing, public toilets, Leith Theatre restoration and a new city-centre policing unit.