Highland Council is moving forward with plans to introduce a tourist tax, with a public consultation set to open on a proposed £5-per-night levy on visitors staying in the region.
The charge would apply across a wide range of accommodation types, including hotels, guest houses, bed and breakfasts, rooms in private homes and short-term lets. If introduced, it would make the Highlands one of the first areas in Scotland to implement such a scheme.
The move follows the Scottish Government passing legislation that gave local councils the power to introduce visitor levies in their own areas. Edinburgh has already been pushing ahead with similar plans, and other councils across the country have been watching closely to see how the process unfolds.
Highland Council covers one of the most visited parts of Scotland, drawing millions of tourists every year to its mountains, lochs, castles and whisky distilleries. The region is a cornerstone of Scottish tourism, but local communities have long raised concerns about the pressure that visitor numbers put on roads, public toilets, car parks and other infrastructure.
Supporters of the levy argue that it is only fair that tourists contribute something toward the upkeep of the places they visit. A £5-per-night charge is relatively modest compared to similar schemes operating in cities across Europe, where visitor taxes are commonplace and widely accepted.
For a couple spending a week in the Highlands, the charge would add £70 to their trip. For a solo traveller staying three nights, it would come to £15. Backers of the plan say most visitors would barely notice the difference, while the revenue generated could make a real difference to local services and infrastructure.
Not everyone is convinced, however. Some accommodation providers and tourism businesses have raised concerns that any extra cost could put visitors off, particularly at a time when the cost of living squeeze has already made people more cautious about spending on holidays. Scotland faces stiff competition from destinations across the UK and abroad, and critics worry that adding a levy could tip some travellers toward choosing somewhere else.
The hospitality sector has been vocal on this issue nationally, with industry groups arguing that tourism businesses are already under significant financial pressure and that adding bureaucracy around collecting and remitting a nightly charge creates extra work for smaller operators.
The public consultation will give residents, businesses and visitors a chance to have their say on the proposals before any final decisions are made. Highland Council will be keen to hear from accommodation providers across the region, as well as from community groups, tourism organisations and members of the public.
The Highlands stretches across a vast geographic area, from Inverness in the east to the far northwest coast, and the challenges and opportunities around tourism vary significantly from one part of the region to another. The consultation process will likely surface a range of views depending on where people live and work.
If the levy goes ahead, the council would need to set out clearly how the money raised would be spent. Transparency around that spending will be key to winning public and business support. Communities that feel the benefits of the tax being reinvested locally are far more likely to get behind the scheme than those who see the money disappear into general council coffers.
Scotland as a whole is watching how these early visitor levy consultations play out. The decisions made in the Highlands and Edinburgh over the coming months could set the tone for how the rest of the country approaches the issue for years to come.