A full meeting of Stirling Council will discuss the mooted plans – which will see a three-per-cent charge added to accommodation stays during the peak season between April and October.
Councillors will vote on much-debated plans to introduce a so-called ‘tourist tax’ in Stirling next week after the proposals were finally revealed.
The introduction of visitor levies has been an area of debate all over Scotland, with a leading tourism trade body urging Stirling Council to hold off on the plans to avoid causing confusion for local venues.
Under new powers granted by the Visitor Levy (Scotland) Act 2024, the draft scheme proposes a five per cent levy on overnight stays across all forms of paid visitor accommodation within the Stirling Council area.
A year-long period of consultation over the proposals was launched last December, with an early engagement process in the early months of this year followed by a stint of statutory consultation.
In documents submitted for councillors ahead of a full council meeting on December 11, the outcome of that consultation has now been revealed.
The agenda has agreed certain changes to the initial proposals – including a reduction in the levy rate from five to three per cent and the application of the added charge only from the start of April to the end of October in an effort to avoid piling on the pain during low season.
Council officials say the changes reflecting concerns raised by businesses during the consultation.
The extent of the consultation is also outlined, with an online survey over the levy receiving 863 responses in addition to a series of drop-in events which attracted around 75 businesses, individuals and organisations from areas including Stirling, Balfron, Killin and Callander.
On the change from five to three per cent, the report said the change “balances the need for for revenue generation with the requirement to mitigate short-term negative impacts on visitor demand”.
Officers have estimated the levy plans could generate more than £2 million of extra funding for the council, with the significant bulk of that set to be dedicated to maintaining services and facilities used by the business and tourism sector in Stirling.
The item is part of the full council meeting – the first since the new SNP administration seized power at the local authority last month – and councillors will be asked to recommend the option for the seasonal, three per cent rate.
Other options include maintaining the levy at the original five per cent or not introducing a visitor levy in the region.
Another consideration for the plans will be recent proposals set out by the Scottish Government which may serve to tweak the scheme by offering councils the ability to charge a fixed amount rather than as a percentage of accommodation costs.
The changes would also see local authorities given the option of setting different fixed amounts such as for different geographical locations, times of year or types of accommodation.
The bill at Holyrood is set to be introduced and debated early next year.
Public Finance Minister Ivan McKee said: “The visitor levy empowers councils by giving them a new way to raise money for investment in tourist services and facilities.
“Our aim has been to give councils the flexibility to design a levy that works for their areas, while ensuring businesses can easily understand what it means for them.
“The Act passed last year was an example of partnership working between the Scottish Government, local government and tourism businesses. Through regular discussions with our partners, it became clear that further flexibility would be welcomed.
“That is why we have decided to legislate next year, to ensure local visitor levies work effectively for everyone.”
