Aberdeen City Council has approved a new measure to introduce a 7% levy on overnight stays, with the tax set to come into force in July 2027. Officials estimate the tax will bring millions in pounds per year, with all proceeds reinvested into the city’s tourism sector.
The levy will apply to hotels, B&Bs, self-catering accommodation, campsites, and caravan parks. Councils will be allowed to adjust the percentage for specific events, such as arts festivals or major conferences, but the type of accommodation subject to the tax cannot be changed. Cruise ships, motorhomes, and people receiving disability payments will be exempt.
With an average room rate of £70 per night in the city, visitors will pay an extra £4.90 per night. Any non-resident staying overnight in the city will be liable to pay the levy, which is expected to bring the city an extra £6.8 million a year.
Stephen Gow, chair of VisitAberdeenshire, praised the measure, calling it a “well-managed scheme that supports the aims of the region’s Destination Strategy, will drive continued growth of Aberdeen’s visitor economy”. He highlighted that the city welcomed 2.2 million overnight visitors in 2024, generating over £500 million.
“The headroom for growth in the leisure and conference sectors will be fulfilled through effective investment in promotion, events, and development of the tourism sector,” he added.
According to Alex McLellan, the council’s finance and resources convener, the income will boost the local economy and help attract major events. “The income generated from the visitor levy, paid by those visiting the city, will provide a huge boost to our local economy and allow us to invest in bringing major events and conferences here on a more regular basis,” he said.
It will notably contribute to projects like business events, expos and major conferences, as well as a “Culture & Events Subvention Fund” to support large-scale events, productions, and festivals.
While Aberdeen is not the first Scottish city to approve the tax, its 7% rate is the highest so far. Edinburgh and Glasgow have set their levies at 5% earlier this year. They are due to take effect respectively in July 2026 and January 2027.
The move follows the Scottish Parliament’s recent legislation, known as the Visitor Levy (Scotland) Act, which allows councils to impose a ‘visitor levy’ on overnight accommodation.
McLellan added that “across Europe we are paying similar amounts to stay per night subsidising their thriving economies, and we should do the same to ensure we can compete in terms of attracting both business and leisure tourism to Aberdeen”.
Councillors in Aberdeen are set to make a final decision over a proposed 7% tourist tax next week.https://t.co/H6YsaVB3tc pic.twitter.com/Pquxzk94xO
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Similar schemes have indeed been introduced in many European cities in recent years, with the double aim of curbing overtourism and generating more money in the cities to fund the maintenance and improvement of tourism infrastructure.
While no equivalent law exists in England, cities such as Liverpool and Manchester have already found ways to apply levies through alternative legal mechanisms.
