The key legislation is the Visitor Levy (Scotland) Act 2024, which received Royal Assent on 5 July 2024. It gives Scottish councils the power to introduce a local visitor levy, but it does not impose a national tourist tax automatically. (Highland Council)

Main provisions

1. Councils may introduce a local levy

Each local authority can decide whether to introduce a visitor levy in all or part of its area. It must consult before doing so. The levy is intended to raise money for local facilities and services used by visitors. (VisitScotland)

2. It applies to paid overnight accommodation

The levy applies to people staying overnight in accommodation that is not their only or usual place of residence. The accommodation types in scope include hotels, hostels, guest houses, B&Bs, self-catering accommodation, campsites, caravan parks, and some fixed-position vehicle or vessel accommodation. (VisitScotland)

3. It is charged on the accommodation element

The 2024 Act provides for the levy to be calculated as a percentage of the cost of overnight accommodation. It is aimed at the accommodation cost, not separate extras such as meals, parking, entertainment or transport. Accommodation providers are responsible for collecting and paying the levy to the council. (VisitScotland Business Support Hub)

4. Local flexibility

Councils can shape their own scheme, including the levy rate, the geographical area covered, local exemptions, timing, and whether to apply a cap on the number of nights charged. However, the scheme has to follow the statutory process and guidance. (VisitScotland)

5. Consultation and lead-in period

Before introducing or changing a scheme, a council must publish proposals and consult. Guidance suggests 12 weeks as an appropriate consultation period, and the legislation requires at least 18 months between the decision to introduce a scheme and the scheme coming into force. (Scottish Tourism Alliance)

6. Use of funds is ring-fenced

The net proceeds must be used to achieve the scheme’s objectives and to develop, support or sustain facilities and services substantially for, or used by, visitors for leisure or business purposes. This could include visitor management, public realm, cultural activity, infrastructure, parks, toilets, paths, signage and related services. (West Dunbartonshire Council)

7. Exemptions and exclusions

The legislation provides for national exemptions, including people receiving certain disability benefits, and it excludes accommodation used as someone’s usual residence. Councils may also propose local exemptions. (South Ayrshire Council)

8. Administration, returns and enforcement

Accommodation providers must keep records, submit returns and pay the levy to the council. The Act also contains provisions for compliance, penalties, interest, recovery of unpaid amounts, reviews and appeals. Regulations on local authority assessments and reviews/appeals came into force on 1 April 2026. (Legislation.gov.uk)

9. 2026 amendment bill

A Visitor Levy (Amendment) (Scotland) Bill was passed by the Scottish Parliament on 24 March 2026, but the Parliament page still says Royal Assent is required before it becomes an Act. Its main change is to allow councils to use a fixed amount model, or different fixed amounts, rather than only a percentage of accommodation cost. (Scottish Parliament)

Edinburgh position

Edinburgh has approved a scheme from 24 July 2026: a 5% levy on overnight accommodation, applied to a maximum of five nights. VisitScotland says accommodation providers will apply it to advance bookings made from 1 October 2025 for stays on or after 24 July 2026. (VisitScotland)

For Corstorphine in Bloom, the important point is that levy income has to support services and facilities used by visitors. Well-framed public realm improvements, planting, visitor routes, parks, wayfinding and local destination management could potentially fit that purpose, especially if tied to Edinburgh’s visitor experience and local high streets.