Ocean Kinetics - The Engineering Experts
Thursday 18 September 2025
 13.5°C   SSW Fresh Breeze
Shetland Accordion and Fiddle Festival 9 - 12 October 2025

Business / Tourism association happy to see SIC decide against visitor levy

The Association of Scotland’s Self-Caterers has also welcomed the decision

Shetland Tourism Association chair Amanda Hawick. Photo: Hans J Marter/Shetland News

THE LOCAL tourism association is “absolutely delighted” that Shetland Islands Council has decided not to introduce a visitor levy.

Shetland Tourism Association (STA) chair Amanda Hawick also sought to highlight the work the organisation had carried out in gathering feedback from its members on the levy.

Councillors agreed on Monday not to adopt the so-called “tourist tax” and instead continue engagement with government on other levy models and revenue-raising powers.

Council leadership said they felt visitors paying an extra fee on overnight accommodation was not suited to Shetland, while the high cost of getting to Shetland in the first place was also raised.

There appears to be more support for the idea of other possible tourism levies such as a point of entry fee or a cruise levy.

The SIC’s decision came after Scotland’s three island councils commissioned consultants to explore the feasibility of the discretionary visitor levy, which would see revenue put back into councils.

However, Hawick said the STA had already done work off its own back to gauge the views of local tourism members.

She said the STA had also joined forces with similar organisations in Orkney and the Western Isles, before the consultants were procured by the island councils.

Some of the key concerns gained through consultation were the administrative burden on accommodation providers and the risk of losing some visitors to Shetland.

Hawick – a former councillor herself – highlighted that people visiting Shetland have to pay a fair whack as it is just to get the isles.

“We’re not a cheap destination, we’re not an easy destination to get to,” she said.

“We want to see Shetland thrive with tourism and our accommodation providers and hospitality sector to grow, but just now we’re in a kind of economic suffocation, with no more availability for people to get to the island on NorthLink ferries in the summer time, and the cost of Loganair.”

Become a member of Shetland News

 

Hawick said she has experienced some people saying Shetland will become a destination that is no longer affordable to come to, “and that’s going to have a huge impact on us”.

She also questioned how feasible it would have been for Shetland Islands Council to administrate a visitor levy, due to costs but also staff workload.

Reflecting on the decision, Hawick said: “When the news broke that it had been fired out, yes it was a victory for the Shetland Tourism Association and industry in being so vocal.

“Shetland is a unique place and current legislation doesn’t fit here with some of the things that they suggest.”

She also pointed to the Scottish Government’s short-term let legislation, which was introduced a couple of years ago and requires providers of accommodation like B&B, guesthouses and self-catering flats to apply for a licence.

Hawick also confirmed that the intention is for the tourist office at the Market Cross in Lerwick to open in full next year.

Meanwhile the Association of Scotland’s Self-Caterers said it also supports the SIC’s stance on the visitor levy.

Chief executive Fiona Campbell said: “We welcome Shetland Islands Council’s decision not to pursue a visitor levy, recognising that the risks to fragile island economies and small tourism businesses outweigh the benefits.

“At a time when Scotland’s tourism sector faces huge pressures, this is a pragmatic, evidence-based decision that others should follow.

“There also appears to be widespread confusion about who pays the visitor levy, with many Scots unaware that the ‘tourist tax’ isn’t confined to international visitors, but Scots on holiday and those working away from home are required to pay it too. It’s just another stealth tax on hard working Scots, and needs to be binned altogether.”

The Scottish Government previously said the levy could empower councils to raise funding, “if they wish to do so, that can be invested in local visitor services and activities”.

Become a member of Shetland News

Shetland News is asking its readers to consider paying for membership to get additional perks:

  • Removal of third-party ads;
  • Bookmark posts to read later;
  • Exclusive curated weekly newsletter;
  • Hide membership messages;
  • Comments open for discussion.

If you appreciate what we do and feel strongly about impartial local journalism, then please become a member of Shetland News by either making a single payment, or setting up a monthly, quarterly or yearly subscription.

 

Sign up
for our Newsletters

Stay in the loop with newsletters tailored to your interests. Whether you're looking for daily updates, weekly highlights, or updates on jobs or property, you can choose exactly what you want to receive.

Advertisement 
Advertisement 
Advertisement 

JavaScript Required

We're sorry, but Shetland News isn't fully functional without JavaScript enabled.
Head over to the help page for instructions on how to enable JavaScript on your browser.

Interested in Notifications?

Get notifications from Shetland News for important and breaking news.
You can unsubscribe at any time.

Have you considered becoming a member of Shetland News?

  • Removal of third-party ads;
  • Bookmark posts to read later;
  • Exclusive curated weekly newsletter;
  • Hide membership messages;
  • Comments open for discussion.