Nicola Sturgeon’s speech last Tuesday setting out the Scottish government’s legislative programme for the year ahead confirmed what was already pretty clear. Scottish councils are set to be the first in the UK with the power to levy charges on visitors, with Edinburgh likely to lead the way.
Tourist taxes are not new. The Himalayan kingdom of Bhutan has a longstanding policy of charging visitors a daily fee. France’s tax on overnight stays was introduced to assist thermal spa（温泉）towns to develop, and around half of French local authorities use it today.
But such levies are on the rise. Moves by Barcelona and Venice to deal with the phenomenon of “over-tourism” through the use of charges have recently gained prominence. Japan and Greece are among the countries to have recently introduced tourist taxes.
That the UK lags behind is due to our weak, by international standards, local government, as well as the opposition to taxes and regulation of our aggressively pro-market ruling party. Some UK cities have lobbied without success for the power to levy a charge on visitors. Such levies are no universal remedy as the amounts raised would be tiny compared with what has been taken away by central government since 2010. Still, it is to be hoped that the Scottish government’s bold move will prompt others to act. There is no reason why visitors to the UK, or domestic tourists on holiday in hotspots such as Cornwall, should be exempt from taxation—particularly when vital local services including waste collection, park maintenance and arts and culture spending are under unprecedented strain.
On the contrary, compelling tourists to make a financial contribution to the places they visit beyond their personal consumption should be part of a wider cultural shift. Westerners with disposable incomes have often behaved as if they have a right to go wherever they choose with little regard for the consequences. Just as the environmental harm caused by aviation and other transport must come under far greater scrutiny, the social cost of tourism must also be confronted. This includes the impact of short-term lets on housing costs and quality of life for residents. Several European capitals, including Paris and Berlin, are leading a campaign for tougher regulation by the European Union. It also includes the impact of overcrowding, litter and the kinds of behaviour associated with noisy parties.
There is no “one size fits all” solution to this problem. The existence of new revenue streams for some but not all councils is complicated, and businesses are often opposed, fearing higher costs will make them uncompetitive. But those places that want them must be given the chance to make tourist taxes work.
