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- Fife Visitor Levy
Fife Visitor Levy
Fife Council has been exploring the potential introduction of a Visitor Levy under the Visitor Levy (Scotland) Act 2024.
Since 2025, the Council has undertaken evidence gathering, independent economic analysis, benchmarking with other local authorities and an early engagement exercise with accommodation providers, tourism businesses, residents, visitors and other stakeholders. The findings from this work have informed the development of a draft Visitor Levy Scheme for consideration by elected members.
A report setting out the findings of the preparatory work and draft scheme proposals was considered by Cabinet Committee on 8 October 2026. Following discussion, Members agreed to proceed to the mandatory statutory consultation on a draft Visitor Levy Scheme, providing businesses, residents, visitors and other stakeholders with an opportunity to share their views on the proposals before any final decision is made on implementation. Details on this consultation will follow in due course.
What is Visitor Levy?
The Visitor Levy is a local levy that councils in Scotland can choose to introduce, enabled by the Visitor Levy (Scotland) Act 2024.
A levy would apply to overnight stays in visitor accommodation (e.g. hotels, B&Bs, self-catering, campsites, motorhome sites). The charge is calculated as a percentage of the accommodation cost. This means that the amount paid would vary depending on the cost of the stay.
Draft Scheme Proposals Under Consideration
The report presented to Cabinet Committee included a number of draft proposals for consideration. These include:
- A Visitor Levy applying to eligible overnight accommodation within Fife.
- A fixed-rate levy model.
- Illustrative levy rates of £3, £4 and £5 per accommodation unit per night.
- Potential local exemptions.
- Priorities for the future use of levy income.
- Governance arrangements, including the potential establishment of a Visitor Levy Forum.
The draft scheme also includes illustrative comparisons with percentage-based levy models to help inform consideration of different approaches and their potential impact on revenue generation.
No decision has yet been made on whether to introduce a Visitor Levy in Fife or on the final design of any future scheme.
What Happens Next?
Following approval by Cabinet Committee on 8 October 2026, Fife Council will proceed with a 12-week statutory consultation on the draft Visitor Levy Scheme. This consultation will provide accommodation providers, tourism businesses, residents, visitors and other interested parties with the opportunity to review the draft proposals and share their views.
Once the consultation closes, all responses will be independently analysed alongside further economic assessment and impact evaluation. The findings will then be reported back to elected members, who will consider the consultation feedback and supporting evidence before making a final decision on whether to implement a Visitor Levy in Fife.
Details of the consultation dates and how to participate will be published in due course. Stakeholders are encouraged to monitor project updates and take part in the consultation when it opens to ensure their views are considered as part of the decision-making process.
Reports
Cabinet Committee report for the 8th October 2026
Early engagement analysis and economic impact report
Early engagement and economic impact executive summary report
Fife Draft Visitor Levy Scheme for Consultation
Potential Revenue from a Visitor Levy
The exact amount of revenue raised would depend on the rate set, visitor numbers, accommodation prices, and any exemptions.
Modelling carried out by the EKOS Consulting, based on current market conditions, gives the following annual estimates for Fife:
| Proposd Fixed Levy Rate | Estimated Gross Revenue |
| £3.00 | £5.7m |
| £4.00 | £7.6m |
| £5.00 | £9.5m |
The above figures are indicative, subject to change, and will vary depending on future accommodation stock, occupancy rates, visitor demand, and pricing and local visitor levy exemptions. Further economic modelling will establish if demand for accommodation and how the wider tourism economy in Fife would be affected if a levy is introduced.
A portion of the any revenue raised may be used to cover the council’s cost of collection and could also be used to support accommodation businesses with the costs of administering the levy.
What activity might a Visitor Levy support if implemented in Fife?
Money raised through a Visitor Levy must be spent on facilities and services that benefit visitors, including leisure The proposed Visitor Levy Scheme is intended to strengthen this sector by ensuring that tourism growth is well-managed, sustainable and delivers tangible benefits for residents, as well as visitors.
In Fife, the overarching aim of any Visitor Levy would be to:
“Support a sustainable and thriving visitor economy while ensuring the benefits of tourism are shared across local communities.”
The draft scheme proposes investment across five key themes:
- Enhancing the Visitor Experience and Destination Appeal: Supporting Fife's attractiveness as a visitor destination.
- Visitor infrastructure, signage, public facilities, destination marketing and promotion, events and festivals
- Supporting Sustainable Tourism and Infrastructure: Ensuring tourism growth is sustainable and continues to benefit residents and visitors.
- Active travel infrastructure, maintenance of parks and public spaces, improve accessibility and connectivity
- Protecting and Enhancing Fife's Natural, Built and Cultural Assets: Helping manage the impacts of tourism and safeguard the assets that attract visitors.
- Measurers to manage visitor pressures, protection and enhancement of natural environments and heritage assets.
- Strengthening the Visitor Economy and Business Resilience: Supporting the long-term sustainability and competitiveness of Fife's tourism sector.
- Business support programmes, skills development, tourism innovation
Community led tourism projects, place based initiatives, activities that contribute to delivery of the Fife Tourism Strategy
Supporting Communities and Delivering Wider Local Benefits: Ensuring tourism continues to deliver positive economic, social and environmental benefits.
Progress in Fife so far
- In April 2025 Fife Council Cabinet Committee agreed to start a period of public consultation.
- Early Engagement consultation ran from 3rd November to the 31st January 2026, with an online consultation survey, and in person and online consultation sessions across Fife
- Cabinet Committee agreed on 8 October 2026 to proceed with a 12-week mandatory statutory consultation on the draft Visitor Levy Scheme.
- Consultation dates and details of how to participate will be published in due course.
- Consultation results will then be taken to Cabinet Committee for a final decision on Visitor Levy in Fife in 2027. If they decide to go ahead a 18 month implementation period will follow.
- The earliest a levy scheme could be introduced in Fife would be in 2029.
For further information please do not hesitate to contact fife.visitorlevy@fife.gov.uk a the end of the page
Fife Council Guidance
