Aberdeen Councillors Approve 7% Tourist Tax on Overnight Stays

Aberdeen councillors have voted to approve a 7% visitor levy on overnight accommodation, marking Scotland’s highest proposed tourist tax.

The visitor levy will not take effect until at least April 2027, giving businesses and travellers time to prepare. Aberdeen’s proposed levy surpasses the 5% tourist taxes approved in Edinburgh and Glasgow, sparking debate across Scotland’s tourism sector.

With the average hotel room costing £70, the levy would add nearly £4.90 per night to visitor bills.

Revenue Potential and Economic Concerns

Aberdeen City Council estimates the new charge could generate up to £6.8 million annually, funding infrastructure used by tourists. The Federation of Small Businesses urged Aberdeen Council to conduct a full economic impact assessment before implementing the proposed visitor levy.

Finance convener Alex McLellan argued that “Levy revenue will attract events and conferences, strengthening Aberdeen’s economy and tourism appeal.”

McLellan highlighted that “Many European destinations already apply similar charges, helping them subsidise thriving economies supported by sustainable tourism.”

VisitAberdeenshire chairman Stephen Gow noted “The city welcomed more than two million overnight stays in 2024, indicating strong demand.”

Exemptions Included

Cruise ships, motor homes, and travellers receiving disability payments are exempt from the levy, ensuring fairness across tourism categories. Scottish local authorities received powers to introduce visitor levies last September, with several regions exploring similar plans for their areas.

The Western Isles halted their tourist tax proposal after analysis suggested marginal benefits and potential harm to the tourism economy.