Tourist tax will be ‘death knell' for businesses, former minister warns
Fergus Ewing said the council's plans for a visitor levy were 'outrageous and poorly designed'.
The SNP MSP for Inverness and Nairn said the tax was 'uncollectable' and would lead to a 'fiasco'.
Highland Council has been consulting on proposals for a 5% visitor levy that it says could generate at least £10 million for the region.
It says the cash could be used to help pay for improvements to infrastructure, including on its roads.
The Visitor Levy (Scotland) Act was passed last year and allows councils to apply a tax on overnight stays.
But it has been opposed by chambers of commerce in the area, as well as trade bodies representing hotels.
Appearing before Parliament on Wednesday, Ewing called for a U-turn.
He told public finance minister Ivan McKee: 'All four ministers know I have opposed this tax from the outset and voted against it.
'It is a percentage tax upon which there will be additional VAT payable – two sets of tax.
'The minister knows that I have argued that this is uncollectible, is going to lead to a fiasco, that nobody has worked out how to collect it, that the IT systems that will be necessary to administer it do not exist.
'Does the minister agree with me that this may cause the death knell, the death knell, of many hard-working, excellent bed and breakfast establishments in the Highlands and throughout the whole country, and he has been told this again and again.
'So will he call a halt to this outrageous and poorly designed tax?'
McKee said it was up to local authorities whether they implemented a tourist tax but added that he would meet with Highland Council to discuss its plans.
He went on: 'The tax is obviously in legislation, as the member is aware, and Edinburgh City Council will be the first council intending to take the tax forward next year, and as I say, we will continue to engage with other councils as we learn from that implementation, to understand what their plans are in their own local areas.'
Douglas Ross, the former Scottish Tory leader, said the policy would impact Highland residents who would have to pay for overnight stays in different parts of the region.
He called for residents to be exempt from the policy from the outset.
McKee said he was 'well aware' of the concerns raised by trade bodies but reiterated that it is up to the Highland Councils whether to implement the policy.
He said the Visitor Levy (Scotland) Act gave local government 'the most significant new powers' since devolution.
'Many businesses and business organisations absolutely recognise the value that the levy can bring,' he added.
'The levy will help, therefore, sustain and enhance the visitor experience, making destinations more attractive and competitive.'
Highland Council has been approached for comment.
Get all the latest news from around the country Follow STV News
Scan the QR code on your mobile device for all the latest news from around the country
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
STV News
21 minutes ago
- STV News
Humza Yousaf and Nadia El-Nakla say family in Gaza 'waiting to die'
Humza Yousaf and Nadia El-Nakla have said their family in the Gaza Strip feels like 'they're waiting to die'. Speaking to STV News on Tuesday, the former first minister and his wife said they feel angry and 'unbelievably helpless' as relatives starve in the Occupied Palestinian Territory. Just last week, they said councillor El-Nakla's father's cousin was shot in the street. Some family members have managed to escape Gaza. But El-Nakla's cousin Sally, her husband, and their four children remain stuck. STV News Humza Yousaf and Nadia El-Nakla 'She feels like they're going to die, and they're just desperate to leave,' El-Nakla told STV News. 'She's begging me if there's anything we can do to leave. It's heartbreaking, it's unimaginable, and yet we're watching it. 'I send Sally a voice note through Instagram pretty much every day, but it's really hard because what they want to hear is that we can get you out, and I can't. And there are no words of comfort to fill their stomach.' Supplied Nadia El-Nakla's cousin Sally, her husband, and their four children remain stuck in Gaza, El-Nakla said that her dad's 44-year-old cousin was shot in the stomach and run over by a tank last week when he went out to get flour and food for his family. 'That's been really devastating. He was one of my dad's closest cousins,' El-Nakla said. 'He's got two young kids. He didn't need to die. There was no reason he got killed in the street trying to get food for his family. You wouldn't treat an animal that way. It's difficult to comprehend.' Scottish Government First Minister John Swinney John Swinney described the ongoing crisis in Gaza as a 'genocide' for the first time over the weekend after a Fringe show he appeared at was repeatedly disrupted by pro-Palestinian protesters. Yousaf said the First Minister is 'doing what he can' to raise awareness of the situation and put pressure on the Prime Minister, but he said 'calling it a genocide is the least any leader can do'. Yousaf said what the situation needs is 'meaningful action' from the UK and other governments. 'We need them to impose sanctions on Israel, we need them to stop selling arms and weapons to Israel, and they need to make sure Israel is isolated in the same way that apartheid South Africa was a number of years ago. That's the only way Israel will change its stance,' Yousaf said. In recent weeks, more than 100 aid agencies have warned that 'mass starvation' is spreading across Gaza as Israel is accused of not allowing enough food and other supplies into the area. Dozens of Palestinians were killed or wounded on Monday as desperate crowds headed toward food distribution points and airdropped parcels in the Gaza Strip, according to witnesses and local health officials. Several hundred Palestinians have been killed by Israeli fire since May while heading toward food distribution sites and aid convoys, according to witnesses, local health officials and the United Nations human rights office. 'People are slowly being killed,' Yousaf said. 'They know today is worse than yesterday, and they fear that tomorrow will be even worse than today. Every day is progressively getting even worse.' The IDF (Israel Defense Forces) says it has only fired warning shots and disputes the death toll. On Monday, Prime Minister Benjamin Netanyahu said he would convene his Security Cabinet in the coming days to direct the army on the next stage of the war, hinting that even tougher military action was an option in Gaza. Get all the latest news from around the country Follow STV News Scan the QR code on your mobile device for all the latest news from around the country
New Statesman
22 minutes ago
- New Statesman
Scotland needed Kate Forbes
Photo by JeffNot predicted, but perhaps predictable. Kate Forbes, a young woman whose politics are unusually values-based, is quitting Holyrood at the tender age of 35. Forbes, by some margin the outstanding SNP talent of her generation, is walking away from the job of deputy first minister and the prospect of succeeding John Swinney in the top post within the next few years. That she is doing so in order to spend more time with her family, particularly her three-year-old daughter Naomi, is entirely in keeping with how she lives her life. Of all the politicians I have known, she is the most fiercely driven by service and faith. Her authenticity, her refusal to hear the cock crow, has cost her at times. But it also elevated her among her peers. Forbes's explanation of the moment that led her to make the decision during this summer recess, having already been selected as a candidate for next May's election, rings all too true. Visiting an Indian orphanage, 'there was a moment… when it just suddenly dawned on me what a great privilege it is to be a mother but also to have a parent', she told the Times. 'It's not an inconvenience to be squeezed into the rest of my life but actually is quite a high calling.' I've spoken to her often over the years, and it was always clear that the long distances and time-sacrifice involved in pursuing her career – regular five-hour drives to and from her Highland constituency and home – were a drain. The arrival of a child only added to the burden of juggling everything in a fulfilling way. Holyrood is meant to be a family-friendly parliament, but there will always be a limit to just how family-friendly the political life can be. Not just an MSP, but a Cabinet minister holding demanding posts and, latterly, the cross-government role of deputy FM. It's not a life that can be lived half-in, half-out. In the end, something had to give, and she has made her choice. It is, clearly, a loss: to the government, to the SNP, and to Scottish public life. Forbes was the ballast in the Swinney administration, the senior guarantor that the Sturgeon era of increasingly radical leftism was at an end. Her very presence underwrote Swinney's promise that his administration would be mainstream and moderate. She was also, simply, very good at being a minister, a rarity in Edinburgh. Her civil servants rated her highly, as did their colleagues in Whitehall – she was energetic, constructive and bullshit-free. The business community saw her as their voice in government, not as a cheerleader come what may, but as an ally who understood the need for economic growth, wealth creation and innovation not just to boost national performance but also to provide the tax revenues that could fund public services and a war on poverty. She felt this naturally, in a way few of her party colleagues do. Subscribe to The New Statesman today from only £8.99 per month Subscribe The public liked her too. I remember sitting with her in a café in Inverness, where she was continually approached by passers-by displaying real warmth towards her. She connected with ordinary people in an unaffected, natural way. Not all of them agreed with her faith-based social conservatism, but they could detect the authenticity, and were less put off by her traditional views than the progressive campaigners who often screamed loudest. She was real, in an era of plastic politicians. SNP high command, which Nicola Sturgeon controlled long after leaving office, did everything it could to stop her rising to the top. Humza Yousaf was, fatally, shoved forward to stop her replacing Sturgeon, and the party machine put up every block it could. Forbes was more popular with the public, and even those of us who don't support independence could see she was the better candidate by a distance. Sturgeon got her way, Yousaf won, and then very quickly he fell. Forbes would have been good at the job. In an era of growing political division, we need politicians like Forbes. She pursued politics and policy in a way that rose above ideology, which made her a uniter, rather than a divider. She liked to work with politicians across the political spectrum to get things done. And as Reform rises, her particular mix of hard-headedness, compassion and common sense perhaps offered a compelling pathway to tackling that threat. The government, without her, looks thin on talent. I'm more impressed by the junior ministers than most of the Cabinet, who have been in situ too long without making much of a difference to Scots' quality of life. In fact, they have overseen decline across the board. Forbes was one of the few motive forces towards improvement – a believer in radical public sector reform and challenging the vested interests that continue to hold the nation back. Mark Logan, formerly Scotland's chief entrepreneur and a senior figure at Skyscanner, the tech giant sold for £1.3 billion, worked closely with her, and said he would have given her a senior job in any company he worked for. There aren't many at Holyrood you would say that about. It seems more likely that Forbes will do something with a social impact, though. 'I will continue to be motivated by public service of some kind,' she said. 'Public service is what gets me out of bed in the morning.' There is no reason to doubt that is true. She hasn't ruled out returning to Holyrood at some point in the future. She is young enough to raise her family and then start a political career again. One hopes her voice will continue to be heard. For now, though, the progressive left and its online warriors won't have Kate Forbes to kick around any more. What's that phrase? Sometimes you don't know what you've got till it's gone. [Further reading: Britain's decline is as much intellectual as political] Related
Scotsman
an hour ago
- Scotsman
Edinburgh set to hold landmark financial gathering in hope to move up ranks
Edinburgh is set to hold a landmark gathering of global investors and decision makers in hopes that it will cement the city's position as one of the world's top financial centres. Sign up to our daily newsletter Sign up Thank you for signing up! Did you know with a Digital Subscription to Edinburgh News, you can get unlimited access to the website including our premium content, as well as benefiting from fewer ads, loyalty rewards and much more. Learn More Sorry, there seem to be some issues. Please try again later. Submitting... Scotland's Global Investment Summit is set to be held in the Scottish capital on October 6 and 7. The showcase is being organised by Scottish Financial Enterprise (SFE) and the City of London Corporation, with support from both the UK and Scottish governments. Advertisement Hide Ad Advertisement Hide Ad Financial services make up around a third of the Edinburgh economy. Thousands of jobs were created in recent years as giants such as Citi, JP Morgan and Blackrock have chosen the city as a base for operations. It is hoped the upcoming investment summit can help generate the momentum required to catapult Edinburgh further up Global Financial Centres Index rankings. Edinburgh is set to hold a landmark gathering of global investors and decision makers this October in hopes to move into world's Top 20 financial centres. Edinburgh was ranked as the 29th most important financial city in the world in the latest Global Financial Centres Index by consultancy Z/Yen. While not in the top 20, the Scottish capital is still ahead of Sydney, Vancouver, Berlin, Madrid, Milan and Mumbai. Advertisement Hide Ad Advertisement Hide Ad Across Scotland, the financial services sector is worth almost £15billion to the economy and supports around 150,000 skilled jobs. SFE has argued that Edinburgh would benefit from action to address a lack of grade A office space, as well as further investment in transport connections. Sandy Begbie CBE FRSE, SFE chief executive, said: 'Edinburgh has a history in banking and financial services dating back more than three centuries and the city is increasingly viewed today by the sector's biggest players as an ideal base for their operations. 'At SFE, we believe the city can build on its enormous strengths to cement a place in the Premier League of financial centres around the world, as we set out in our recent growth strategy. Advertisement Hide Ad Advertisement Hide Ad 'The investment summit in October will provide an ideal launch pad to enhance the city's reputation further, showcasing all Edinburgh and Scotland have to offer while bringing top investors face-to-face with decision-makers to discuss all the opportunities we know they will be eager to hear about. 'As we continue to deliver our sector growth strategy, this can only help unlock substantial investment in key sectors, while creating new jobs and economic growth for Edinburgh and beyond.'
