Shetland Islands Council Rejects Tourist Tax After Feasibility Study

Local authorities in Scotland are considering or implementing visitor levies, a tax on overnight stays aimed at funding tourism infrastructure and services. While cities like Edinburgh, Glasgow, and Aberdeen have approved levies between 5% and 7%, Dumfries and Galloway is still exploring the idea but faces opposition from local hotel directors who argue the tax would make the region needlessly more expensive without addressing over-tourism issues. In contrast, the Shetland Islands Council has formally rejected the tourist tax after a feasibility study found the risks, including administrative burdens and potential negative impacts on visitor numbers, outweigh the benefits. Shetland's council leader Emma Macdonald and other members favor alternative revenue options such as point of entry or cruise levies, which may be more suitable for the area. The Scottish Government is also consulting on separate levies for cruise ships, though no decisions have been finalized. Overall, the visitor levy debate in Scotland reflects a balance between funding tourism development and protecting local businesses and visitor appeal.