Consultation proposed for plans to introduce visitor levy for Falkirk area tourists

Falkirk Council revealed proposal are continuing to be developed to come up with a local scheme having previously revealed it could bring in more than a million pounds of income annually.

Last week, the Scottish government published its Visitor Levy (Amendment) (Scotland) Bill, which if passed will allow councils to bring in a levy as a flat-rate charge, instead of as a percentage of accommodation costs.

It comes after Holyrood passed legislation in 2024 giving councils for the first time the ability to introduce a charge on overnight stays in hotels, B&Bs, holiday flats and cottages, and other forms of tourist accommodation.

The proposed bill would also allow councils to vary the levy for different areas, different times of year and for different types of accommodation – and could be passed before May’s Scottish parliament elections.

Falkirk now attracts over 800,000 unique visitors with over 500,000 of those staying in accommodation overnight in the area – contributing to a visitor economy that is now worth £150 million.

Major visitor attractions include the Kelpies, which attract 850,000 visitor per year and the Falkirk Wheel which gets 500,000 visits per year, although visitor numbers are continuing to grow and the Kelpies aim to achieve one million visits a year by 2028.

Last year, consultants commissioned by the council estimated that a levy of five per cent could generate revenues between £1 million and £1.5 million before costs (such as set up and collection charges).

But if the bill is passed they could make it a set amount rather than percentage.

The report from the consultants also claimed that much of the money raised from any levy will benefit local people. Projects could include: street cleansing and litter management in places substantially used by visitors; parks maintenance and management; increased accessible toilet provision; town dressing and festive lighting; and events and cultural programming.

Public finance minister Ivan McKee said: “When we introduced the original visitor levy legislation, we wanted to empower councils to implement a scheme that was right for their areas and easy to understand for local businesses.

“We worked closely with councils and tourism bodies when the original legislation was considered and passed by parliament.

“These new proposals will give councils even more flexibility and provide clarity to businesses.

“We want to ensure visitor levies are an effective option for councils who choose to introduce them to boost investment in local economies and services.”

The bill also sets out to clarify how levies are applied to accommodation booked through a third party, such as travel agents.

A Falkirk Council spokesperson said: “We will carry out an initial consultation in the coming months to help shape a proposed visitor levy scheme for Falkirk. This will then be followed by a full consultation later in the year, before any proposal is taken to council for consideration.

"If Falkirk Council were to decide to implement a levy, there would be an 18-month implementation period following council approval.

"At this time, no decisions have been taken regarding the levy. Any decisions will be based on thorough impact assessments and consultation.”