Glasgow moves forward with 'tourist tax' plans amid industry concerns

Glasgow is on track to introduce a tourist tax - with the city’s treasurer eager to implement the levy “as fast as we possibly can without tripping ourselves up.”

Glasgow City Council has confirmed plans to hold a public consultation on the proposed visitor levy, which is set at 5% for overnight stays.

The tax would apply to a variety of accommodation types, including hotels, hostels, guest houses, B&Bs, and self-catering properties.

Estimates suggest that the levy could generate over £11 million each year, which would be used to improve the “look and feel” of the city and fund cultural events and tourism marketing.

'As fast as we can'

City treasurer Ricky Bell expressed his eagerness to see the tax rolled out, noting that the consultation process will be essential in gathering feedback from both residents and businesses.

However, he emphasized that the council is determined to move quickly, aiming for an efficient rollout while ensuring that it doesn’t repeat the mistakes made in Edinburgh.

“We want to get this done as fast as we can, but we are very conscious that we need to engage with the industry properly,” Bell said.

The consultation process will invite public opinion on the proposed levy, after which a report will be prepared to summarise the responses. Following this, the council will decide whether to proceed with the tax, which could be implemented after an 18-month period.

The 5% levy, if introduced, would follow the lead of Edinburgh, which recently approved its own visitor tax, set to come into effect in July 2026.

Calls for flat fee

However, the move has raised concerns within the tourism sector, with some fearing that the tax could harm businesses.

Trade bodies have called for the consultation to be carefully considered, urging Glasgow’s council to listen to industry feedback to avoid doing more harm than good.

The Scottish Tourism Alliance has voiced concerns about the impact of a percentage-based tax, with fears that it could increase costs for tourists and reduce Glasgow’s competitiveness as a tourist destination.

Marc Crothall, Chief Executive of the STA, has suggested that a flat-rate charge may be a better option to avoid potential negative effects on visitor numbers.

Mr Crothall also said the tax will apply to local people who decide to stay in a hotel in their own city - essentially taxing local residents twice.

'No evidence' of reduction in visitors

Despite these concerns, Ricky Bell remains confident that the tax will not discourage visitors.

He said: “Research by the Scottish Government and Edinburgh University both conclude that there’s no evidence to suggest that a visitor levy will reduce visitor numbers.

“People are accustomed to paying similar levies in other countries, and they don’t seem to mind.”

Accommodation providers would be responsible for collecting the tax, with a requirement to submit quarterly reports.

They would also be allowed to retain 1.5% of the funds raised to cover their own administrative costs.

The proposed tax also includes provisions for people receiving disability benefits. They would be required to pay the levy but could apply for a refund.

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