The Act applies to a broad range of accommodation types, including: 

• Self-catering properties 

• Hostels, guest houses, and bed & breakfast accommodations 

• Camping sites and caravan parks 

• Accommodation in vehicles or onboard vessels permanently or predominantly situated in one location 

• Any other residential spaces offered to visitors that are not their sole or usual place of residence 

Impact on Scotland’s Self-Catering Sector 

The Association of Scotland’s Self-Caterers (ASSC) champions the responsible and sustainable growth of Scotland’s tourism sector. Given tourism’s vital role in the economy, the ASSC advocates for policies that support – not hinder – the industry’s recovery and long-term viability. 

The Visitor Levy is an unnecessary burden on Scotland’s self-catering sector at a time when businesses are still navigating challenges from the pandemic, rising costs, and increasing regulatory pressures such as short-term let licensing and planning. This additional charge comes at a precarious moment for operators already stretched thin. 

Many may not realise that the levy applies to domestic visitors as well, impacting families, holidaymakers, and even those traveling within Scotland for essential reasons – such as visiting relatives in hospital. Historically, 70% of Scotland’s tourism comes from domestic visitors, yet price-sensitive consumers may choose to holiday elsewhere, harming local economies. 

A recent PwC report prepared for the European Commission highlights that tourism demand is highly sensitive to price changes. With many Scots already feeling the pressure of the cost-of-living crisis, the introduction of this levy could further deter domestic travel. 

Beyond its financial impact, the levy will increase administrative burdens on small businesses like self-catering operators, adding cost and complexity to an already highly regulated sector. It also risks harming Scotland’s competitiveness in the global tourism market. Unlike many European destinations, Scotland already has one of the highest VAT rates on tourism-making additional charges even more damaging. 

A Fair Approach 

While the ASSC opposes the levy, if implemented, all accommodation types must be included to ensure a level playing field. Additionally, councils should urge the Scottish Government to ensure that cruise ships contribute to the levy as soon as practically possible. 

Tourism accommodation providers must not be used as unpaid tax collectors for a scheme that could undermine the industry it aims to support. Any revenue raised must be invested in tourism-related infrastructure – not used as a general funding source for council services. 

ASSC’s Actions on the Visitor Levy 

While the ASSC does not support the Visitor Levy, the association is actively engaging in consultations, and has been advocating for its members since the Levy was first proposed. With the levy now passed, the ASSC is working alongside key tourism stakeholders to push for urgent amendments that ensure the levy functions effectively. 

The ASSC is working alongside industry leaders to improve the legislation and mitigate its impact. This includes: 

• Exploring legal amendments via Section 78 of the Visitor Levy (Scotland) Act. 

• Proposing a simplified, proportionate fixed-fee system as an alternative to a percentage-based charge. 

• Developing a digital-first visitor payment system to ease the administrative burden on accommodation providers, using QR codes for direct payments to local authorities. 

Ongoing Advocacy 

The ASSC remains committed to: 

• Engaging in consultations to highlight industry concerns. 

• Encouraging members to express their views and actively participate in shaping policy. 

• Providing fact-based, data-driven lobbying efforts using insights from the self-catering sector. 

• Collaborating with tourism stakeholders to push for fair, functional policies that minimise regulatory burdens and protect Scotland’s tourism businesses.