Edinburgh could be the first city in the UK to tax overnight visitors in a scheme that could generate £15 million annually. The proposed levy would involve people being charged an extra accommodation fee to fund infrastructure and services.
The charge is common in other popular tourist destinations around the world, such as Barcelona. The plan was announced by Scotland's First Minister, Nicola Sturgeon, on Tuesday.
Ms Sturgeon said: “We will introduce a Local Visitor Levy Bill to give local authorities additional fiscal flexibility. This will help councils, if they so choose, to fund activities related to tourism and related infrastructure.”