McArthur reacts to OIC Visitor Levy decision

Orkney’s MSP Liam McArthur has said that Orkney Islands Council’s decision not to proceed with a visitor levy is “unsurprising” and has called for the Scottish Government to engage constructively with the local authority and tourism sector in Orkney on proposals for an alternative point-of-entry levy.

The Visitor Levy (Scotland) Act came into force in September last year, giving local authorities the power to levy a “tourist tax” on overnight visitors. The report approved by OIC’s Policy and Resources Committee this morning found “strong opposition to an overnight visitor levy” from stakeholders in Orkney, and recommended not progressing with the proposal.

The decision by OIC follows a similar stance taken last week by Shetland Islands Council and an earlier move by Comhairle nan Eilean Siar to put their plans on hold.

Commenting on today’s decision, Mr McArthur said:

“This decision is unsurprising given the concerns that have been raised by tourism businesses in Orkney over the past year. I have long argued that charging visitors who stay in local hotels and B&Bs while exempting cruise passengers and those arriving in camper vans is simply unfair.

“When the legislation was being scrutinised by parliament, I brought amendments to try to address this anomaly. While they were unsuccessful, they did prompt Ministers to commit to consulting on a cruise levy.

“In response, after consulting widely with local island businesses, Destination Orkney put forward constructive proposals for a point-of-entry levy. This has always seemed to be a more appropriate way forward for island communities like Orkney.

“There is no doubt that more resources are need to invest in infrastructure and services. However, a point-of-entry levy has the benefit of not placing an administrative burden on small accommodation providers and removes the need for a wide array of exemptions to avoid capturing those travelling within Orkney for work, health and family reasons.

“The clear message from Orkney, Shetland and the Western Isles is that more bespoke solutions are required. I hope Ministers will heed these calls when responding to their consultation.”