Cosla Calls For More Financial Power For Councils Starting With A Transient Visitor Tax

27th June 2018

The President of COSLA, together with COSLA's Resources Spokesperson Councillor Gail Macgregor, today called for more financial power for Scottish Local Government.

The COSLA team said that this call for more financial power should start with the discretion to introduce a Transient Visitor Tax, and called on the Scottish Government to grant Councils such a power.

Speaking at a media conference in the centre of Edinburgh, Councillors Evison and Macgregor were joined by Councillor Adam McVey, Leader of City of Edinburgh Council.

COSLA President Alison Evison said: "We want to strengthen local democracy and promote local decision making, starting with giving councils the discretion to introduce a Transient Visitor Tax."

Launching the detailed COSLA document entitled ‘Transient Visitor Tax' COSLA’s Resources Spokesperson Councillor Macgregor said that Scotland needs to be much more innovative about funding for public services.

"What we are asking for today is not a national tax, but a tax that could be introduced locally if the circumstances are right and if councils in their own area think that it is the proper thing to do."

Councillor Macgregor was also keen to stress that the tourism industry in Scotland has nothing to fear from its possible introduction.

“This is the start of a process through which any industry concerns can be alleviated. Our next step on this journey will be to work with the tourism industry and sector in close partnership to allay any concerns that they may have.

Councillor Macgregor said: “The cost of maintaining the local environment and public services, which draw tourists, falls heavily on the public purse. Sustaining this is at significant risk without new ways to invest.”

COSLA’s President Councillor Alison Evison went on to say: “My job as the President of COSLA is to strengthen local democracy and local choice.

“Local government is a sphere not a tier of government in Scotland. The devolution of powers has been the political hot potato of the last few weeks and it is right that we enter this debate in a mature, thought through manner.

“Our ask of the Scottish Government today would be - devolve to local government the powers it needs to deliver services and build the local economy; give us the chance to empower public services and create opportunities for Scotland to flourish.

“The tourism industry should not be alarmed by this move. A Transient Visitor Tax (TVT) will be a tax on visitors and not on businesses.”

Councillor Evison concluded: “The idea of a levy or tax on visitors is increasingly common across the world, and we are asking the Scottish Government to grant councils the same power here in Scotland.”

Councillor Adam McVey, Leader of City of Edinburgh Council said: “Edinburgh welcomes millions of visitors each year who bring investment, diversity and energy to our city but they also bring a cost in terms of the impact on our core services.

“Our research demonstrates that not only is a levy unlikely to adversely affect Edinburgh’s hotel trade, but that handled correctly, it could help to secure the ongoing sustainability and health of tourism in the city.

“We have already begun a considered and professional debate with our partners across the tourist and hotel industry, the people of Edinburgh and the tourists who would ultimately pay the levy.

“I very much welcome COSLA’s unanimous support for the principal of a tourist tax and look forward to working with our local authority partners to build a compelling case for the introduction of these new powers.”

Councillor Margaret Davidson, Leader of the Highland Council said: “Tourism is the Highland’s most significant industry with over 6 million visitors generating over a billion pounds per annum for the Highland economy.

“This can however put significant pressure on public infrastructure and Local Authorities currently have no mechanism for accessing any of this revenue to invest in infrastructure improvements.

“Giving Local Authorities the ability to raise income locally specifically for investment in tourism will allow areas such as Highland to provide the quality facilities and services that our visitors and tourism businesses rightly expect to find in such a well-known tourism destination.”

 

Related Businesses

 

Related Articles

Yesterday : Local Authority

Inverness and Highland City-Region Deal delivers £412.98 million investment across the region

The Inverness and Highland City-Region Deal has delivered public and private investment across the Highlands totalling £412.98 million, according to its 2025/26 Annual Report, supporting major investments in housing, tourism, innovation, and infrastructure.   Highlights from the 2025/26 Annual Report include the start of the Corran Ferry Infrastructure Improvement project, the completion of 234 affordable homes across Highland communities, and the opening of The Inverness Castle Experience, which has welcomed more than 107,000 paying visitors since opening.  

9/11/2026 : Local Authority

Wind Farms, Councillors and Freedom of Speech: Is Scotland's Planning System Silencing Local Dissent?

The growing number of wind farm developments across the Highlands has created an increasingly difficult question for local democracy.  How far can elected councillors go in expressing concerns about renewable energy developments before they risk being accused of bias and excluded from decisions affecting their own communities? That question has now been brought into sharper focus by Highland councillor Matthew Reiss, who has approached the Ethical Standards Commissioner seeking clear guidance on councillors' conduct when publicly expressing views about renewable energy.  

7/11/2026 : Local Authority

Are Chromebooks Taking Over Our Classrooms? Highland Schools Face Questions About Digital Learning

The use of Chromebooks, laptops and other digital devices in schools was once widely regarded as an important step towards modernising education.  Giving every pupil access to technology promised to improve learning, widen access to information and prepare young people for a world increasingly dependent on digital skills.  

6/11/2026 : Local Authority

Secret HQ Move: Is Highland Council Chasing Savings or Just Shuffling the Deck?

A storm is brewing behind closed doors at Glenurquhart Road.  Recent private discussions have revealed plans for Highland Council to potentially abandon its historic headquarters and relocate to Great Glen House, the current £13 million base of NatureScot.  

5/11/2026 : Local Authority

Committee to consider 1 April 2027 start date for Short-Term Let Control Areas

Members of The Highland Council’s Economy and Infrastructure Committee will be asked to agree that Short Term Let Control Areas (STLCAs) for Inverness City and Highland Rural come into effect from 1 April 2027.   The recommendation to the Committee follows the decision by Scottish Government Ministers on 26 October 2026 to approve designation of the STLCAs, which are an important tool to manage future loss of housing stock, support sustainable communities and balance housing needs with the visitor economy.  Chair of the Council’s Economy and Infrastructure Committee, Cllr Ken Gowans, said: “Following Scottish Government approval, the Council can now move forward with implementing these STLCAs, which will help us strike a better balance between supporting tourism growth and protecting much-needed housing for local people.  

6/11/2026 : Local Authority

Key decisions made to improve Highland Bereavement Services

Members of the Communities and Place Committee have made key decisions that will improve affordability and choice within Highland bereavement services at Inverness Crematorium; and introduce stronger governance and transparency for charitable funding applications through the crematorium metal recycling scheme.   Members also approved the adoption of a standardised burial management plan across Highland which will ensure compliance with new national burial management legislation.  

6/11/2026 : Local Authority

Council-owned D&E Coaches delivers £700k profit while supporting Highland transport

D&E Coaches has recorded a £700,000 profit after tax in its first full year under Highland Council ownership.   The Council purchased the coach and bus operator in March 2025 to support the ongoing provision of sustainable and reliable transport services across the Highlands.  

6/11/2026 : Local Authority

Abandoned Vehicles Policy approved by Highland Councillors

Members of The Highland Council’s Communities and Place Committee have approved a new Policy on Abandoned Vehicles that will provide a framework for investigating, assessing and enforcement against abandoned vehicles across the region.   Chair of Communities and Place, Cllr Graham MacKenzie said: “I welcome this new policy which will help to make a difference in communities where the nuisance of abandoned vehicles arises.  

6/11/2026 : Local Authority

Funding success builds on Highland Council’s commitment to warmer, energy efficient homes

Climate Change Committee Members have welcomed news that The Highland Council has successfully secured external funding in the region of £5.4 million for 2026/27.  This grant funding will support retrofit and decarbonisation programmes for eligible owner occupier, private rented and Council owned houses across the Highlands.  

6/11/2026 : Local Authority

Council to commission independent review of licensing

Members of The Highland Council have today approved the commissioning of an independent external review of the Council’s licensing arrangements following a Council motion approved on 17 September 2026.   The review will consider governance, decision-making processes and opportunities for improvement.