Meeting of the Parliament 28 May 2024
I am sorry—I have four minutes. We have probably heard enough debate for the day and I can see that members are desperate to get home.
Although I do not expect East Ayrshire Council to use the power, I know that many councils are eagerly looking forward to introducing the measure, so that they can improve the offer for the experience of their visitors.
It would be fair to say that there was a range of opinions on many of the proposals, including on whether to apply a flat rate, a percentage rate or a tiered rate; whether it should be with a cap or without a cap; what exemptions should apply; how soon it can be introduced and so on. We have heard some of that debate being replayed today and tonight. There was plenty of debate about whether a percentage rate was better than a flat rate. As I recall, the argument that a visitor to a five-star luxury hotel should probably pay a little bit more than a visitor to a small B and B slightly won the day.
Some councils wanted a shorter lead-in time, as we heard during the debate on the amendments, given the time that the bill has already been under consideration. However, as I recall, there seemed to be a preference for an 18-month to 24-month lead-in time to give everybody enough time to prepare and get ready for the levy’s being introduced. That period seems to be in line with advice from the European Tourism Association.
If the bill is passed, our councils will, of course, be obliged to consult their stakeholders further in order to help them to shape the levy to fit local needs and circumstances as far as possible. That, too, is a flexibility that the councils appreciate, as was stressed by a number of members around the chamber. The councils can set the levy as a percentage of the accommodation cost and they can apply it to all or parts of their local area.
COSLA’s resources spokesperson, Councillor Katie Hagmann, welcomed the progress of the bill as providing
“a small but significant step towards maximising the revenue raising powers available to local government”,
and the councils, as we might expect, will have a crucial next step to take in taking the bill forward. As we know, the Government is committed to considering further how to bring cruise ships into the sphere of a local visitor levy, which possibly requires separate primary legislation to achieve it.
Our local government committee members gave the bill a thorough examination. Although we could not get unanimous agreement on the principles of the bill at the committee stages, at least we all agreed that the introduction of a levy at a modest rate would be unlikely to have a significant deterrent effect on visitor numbers. That is worth stating.
With that, I am happy to conclude my remarks and to listen to the contributions of members who remain to speak in the debate.
18:08