Visitor levy can be transformational but private sector needs to come together and make its voice heard - Donald Anderson

We’re in the midst of the greatest show on Earth just now. Referred to by residents as The Festival, Edinburgh’s (many) festivals have evolved into a uniquely successful cultural and economic event.
Edinburgh's Visitor Levy is expected to see tourists charged 4 per cent on the cost of their accommodationEdinburgh's Visitor Levy is expected to see tourists charged 4 per cent on the cost of their accommodation
Edinburgh's Visitor Levy is expected to see tourists charged 4 per cent on the cost of their accommodation

Some residents moan about it, and indeed negotiating the busy streets during The Festival, does get more complicated with the consequences of the population of the city effectively doubling in size during August. That said all the evidence is that Edinburgh residents love our festivals as evidenced by ticket sales and the proportion of residents in the resident’s survey (77 per cent) who say it makes the city a better place to live.

Edinburgh’s festivals are a triumph of enterprise, partnership and civic pride. Since the early post war years, the festivals have grown and prospered in a way that has helped transform and improve the city itself. During the Second World War the council published a report that spoke of the decay in the city centre and particularly highlighted the decay in the High Street, which bemused visiting tourists. These days the High Street and city centre have never been in better physical shape, and virtually all the historic buildings in the city centre have been saved and restored.

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But there are still huge issues and challenges. The festivals have bounced back, but that recovery was not a given, and there is still fragility in that recovery. As Tommy Sheppard pointed out in these very pages 90 per cent of the Festival Fringe takes place in a very small area within the old town. Our festivals have bounced back, but they can’t stand still, and they will continue to need to be nurtured. And in future that will mean cash.

The answer to many of the challenges facing the city’s festivals is working its way through the Scottish Parliament. A visitor levy will be the first significant new funding source for Edinburgh in living memory. New taxes are a rare thing, and the council has set out its approach to implementing the new levy. That approach is very encouraging.

Five areas are highlighted for action. Investing in infrastructure, promotion and marketing, culture and heritage, improving some city services and tourism industry growth and resilience. The private sector is invited to join in the discussion of how a budget of between £5-£30million should be administered and spent. I hope that the business community accepts the invitation for what will herald a new era in the city’s tourism industry.

Edinburgh has lacked an industry led organisation to support our tourism sector since Marketing Edinburgh was wound up in 2020. That leaves a gap that needs to be filled. Thankfully, there is an organisation that represents the city’s festivals, which is excellent, but it faces a tough challenge to make sure the plea for more cash for Edinburgh’s festivals is heard and acted upon. I for one don’t doubt that new cash is needed for the Festival Fringe to continue to thrive.

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Other cities and countries spend more, much more and whilst Edinburgh’s Festivals remain the best in the world, we can never take that for granted. The new visitor levy can be transformational in the same way the inception of our festivals was, but for that to happen the private sector needs to come together and make its voice heard.

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