Following today's packed Visitor Levy Consultation event at the Skye Candle Visitor Centre in Portree, Highland Conservative Councillor Stewart has firmly stated his opposition to the introduction of the proposed Visitor Levy Scheme.
Cllr Stewart commented, "I came today to listen to local businesses and residents. I've had a lot of mail on this issue and met many business owners across Skye and the Highlands. The feedback is clear—a strong 'no' to this levy. No tweaks or exemptions can fix bad legislation. It puts too much pressure on businesses and is typical of SNP anti-business policies."
The Visitor Levy (Scotland) Act 2024, passed by Holyrood last year, allows councils discretionary powers to impose a levy on overnight stays. Highland Council is currently consulting on its potential implementation.
Cllr Stewart highlighted the disproportionate impact this levy would have on Skye’s economy, which relies heavily on small businesses operating on tight margins. "Local businesses say they simply can't afford more costs. They already pay higher prices for fuel, transport, and deliveries because they're remote. Heating and electricity are also much more expensive here. This tax hits businesses already struggling with the costly and burdensome short-term lets regulations and the SNP's refusal to fully pass on business rates relief. To stay competitive, businesses try to keep below the VAT threshold, If this levy pushes business over the threshold it would mean raising prices by 26%, making Skye less appealing for visitors. Many businesses fear this levy could push them to the brink or even closure."
He also voiced concerns regarding the administrative burden, saying, "Businesses are worried about the paperwork, bureaucracy, and extra red tape involved. Several have told me directly this could be the final straw."
Cllr Stewart also expressed concern about the levy’s failure to capture revenue from motorhomes and campers who do not use official sites. "This proposal overlooks the significant impact of motorhome tourism—often high volume but low value, resulting in limited benefit to local businesses. It also ignores the hidden environmental costs such as littering, illegal waste dumping, and damage to our iconic landscapes from irresponsible camping. We urgently need practical solutions to manage this kind of tourism responsibly, rather than adding more financial burdens to legitimate businesses already stretched thin."
Cllr Stewart, Leader of the Conservative Group on Highland Council, said: "Conservative MSPs at Holyrood strongly opposed this Bill, and our group on Highland Council will continue that fight locally. We will vote against this levy, stand up for business and protect the Highland economy."