Exclusive:Cruise ship passengers and motorhome users facing new 'tourist taxes' in Scotland

Highland Council is among local authorities in Scotland that has shown backing for a levy on motorhomes

Visitors to Scotland are facing further tourist taxes as the Government committed to “intensifying work” on a levy for cruise ship passengers while remaining “open” to a similar charge for motorhome users.

Talks to discuss potential new legislation that would raise revenue from visitors and much-needed funds to mitigate pressures caused by increasing tourist numbers are due to be held with council umbrella body Cosla today.

Hide Ad
Hide Ad

The development comes as up to one million cruise ship passengers are expected to dock at Scottish ports this year, while the number of motorhomes has significantly increased in some areas, particularly the Highlands and Islands.

Getty Images

Despite the growth, both cruise ships and most motorhomes were left out of the Visitor Levy Bill passed by MSPs earlier this summer. The legislation allows all Scottish councils to introduce a tax on stays in overnight accommodation, with the money generated subsequently reinvested in local budgets.

Now the Scottish Government is considering additional legislation to raise revenue while managing growth from these types of tourism and their impact on infrastructure and communities across Scotland.

Councillor Ken Gowans, chair of economy and infrastructure at Highland Council, is due to attend the meeting at Cosla.

He said: “There are three versions of the tourist levy that we are looking at at Cosla. One of them is the current one - the visitor levy. The second one that is going to be discussed is cruise ships and the third one, more importantly for us, are campervans.

“Legislation has only been passed for the visitor levy, it has not been passed for the cruise ship or motorhome levy. That would be completely separate legislation.

“The meeting will try and get opinions from each of Scotland’s 32 councils on how we could develop this. I would be very much in favour of bringing in both these levies because for Highland these could bring in substantial financial benefits.

Hide Ad
Hide Ad

“The thing about the visitor levy is that this isn’t a tax on the people of Highland, this is a tax for the people of Highland. At the moment when you think of all the damage that is caused to the roads and all the environmental pressures that we are put under, currently the mitigation of that is funded through our council tax. So in a sense, the people of Highland are paying for people’s holidays.

“Highland is, of course, a key destination for cruise ships. We get many thousands of cruise ships passengers every year and we get many thousands of motorhome passengers.”

The meetings with Cosla come after Rural Affairs, Land Reform, and Islands Secretary Mairi Gougeon led talks yesterday in Orkney - the country’s most popular cruise destination - on a potential levy on cruise visitors. In the first of four roundtable events to discuss the levy, cruise industry chiefs met with island leaders to discuss the benefits and pitfalls of such a tax.

Councillor Kristopher Leask, chair of the Orkney Islands Council’s Development and Infrastructure Committee, said: “The new visitor levy legislation represents a potentially transformational opportunity to generate benefits for local communities and visitors – and as a council we will be exploring that potential over the coming months.

“During the consultation that led to the new legislation, there was a push from communities across Scotland, including our own, for consideration to be given to how this might be applied to cruise passengers, given the scale of the industry, particularly in Orkney.”

Further roundtable events will be held in Edinburgh, Inverness and Greenock to advance discussions on a cruise visitor levy, the associated practical issues and how any revenue raised should be spent.

Scotland’s cruise industry is worth an estimated £23m to the economy and supports some 800 jobs, according to latest available figures from VisitScotland.

Business at ports has increased significantly over the past year, with the war in Ukraine stripping business out of the traditionally popular Baltic ports with Scotland regarded as a good, safe alternative.

Hide Ad
Hide Ad

Ports at Stornoway and Aberdeen have expanded to take in bigger vessels, with £20m invested at the Greenock Ocean Terminal.

Talks about the cruise visitor levy comes as Barcelona looks to increase the €7 tax it charges cruise visitor who spend than less than 12 hours in the city.

In Orkney, where up to 6,000 cruise passengers can arrive every day, roads and historic sites such as the Ring of Brodgar have come under extreme pressure on days that cruise liners arrive at Kirkwall.

Meanwhile, on the Isle of Skye, business leaders have called for the location’s own levy on motorhomes using number plate recognition cameras at the Skye bridge and island ports.

In a bid to tackle the surge in vehicles, Highland Council introduced its own £40 motorhome pass, which allows overnight parking in local authority car parks. But the scheme has come under fierce criticism from established caravan parks.

A Scottish Government spokesperson said: “The new Programme for Government commits ministers to intensify work on designing a cruise ship levy and undertaking the necessary public consultation.

“This is in response to calls from Cosla, MSPs, councils and others during passage of the Visitor Levy (Scotland) Act this year. The Scottish Government will now engage with local authorities, the cruise ship industry and others to develop more detailed proposals.

 “While we remain open to the idea of a motorhomes levy, discussions with councils and land management organisations have highlighted significant issues with how it would operate in practice. The Scottish Government will consider any developed proposals that work to support the visitor economy.”

Comments

 0 comments

Want to join the conversation? Please or to comment on this article.