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Millions of UK tourists may soon face new visitor taxes as councils look for ways to fund local services

Visitors to the UK may soon be asked to pay local tourist levies, as councils consider introducing overnight stay charges to help support services under pressure from high visitor numbers.


This proposal is inspired by similar schemes in European cities like Berlin and Barcelona and aims to tackle challenges caused by record-breaking tourist levels in popular locations.


Nearly half of Scotland’s councils, including Highland, Orkney, and the Western Isles, are looking into the idea of a tourist tax.


Highland Council has already started consultations on a 5% overnight stay levy, which could bring in £10 million a year to improve facilities. Edinburgh plans to introduce its own levy in July 2026, aiming to generate £50 million annually.


Image of Edinburgh in Scotland


In Wales, the government is also preparing proposals for a visitor tax to fund tourism and local services, with a focus on busy areas like Gwynedd, Pembrokeshire, and Cardiff.


Ken Gowans, Highland Council’s economy chair, highlighted the importance of sustainable tourism, explaining, “The wear and tear isn’t caused by locals, but they’re the ones paying for it through council tax. With this funding, we can improve services for both visitors and residents.”


Popular spots like Skye’s fairy pools, the North Coast 500 route, and Orkney’s historic sites have struggled with over-tourism.


Fodor’s travel guide recently placed the North Coast 500 on its “No list” due to problems like traffic jams, overcrowded campsites, and environmental damage.


Image of Wastwater in the Lake District

In the Lake District, a study suggested that introducing fees for overnight stays or car use could help reduce the strain on the national park. The area attracts 18 million visitors each year, despite having a population of only 40,000.


While some in the tourism industry see the levy as a good way to invest in sustainable travel, others worry it could put visitors off. Critics, including Inveraray hoteliers, have called the tax “financial suicide,” saying it might hurt spending and create more paperwork.


Michael Hill, CEO of Friends of the Lake District, argued that levies have worked well in Europe. He said, “We’re not against tourists. In many cases, visitor numbers go up after a levy because the destination improves.”


As councils across the UK move closer to adopting visitor taxes, their goal is to balance the needs of local communities with those of tourists. By reinvesting the money in infrastructure, these levies could promote sustainable tourism and ensure popular destinations thrive in the long run.


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